• 4 minutes Energy Armageddon
  • 6 minutes "How to Calculate Your Individual ESG Score to ensure that your Digital ID 'benefits' and money are accessible"
  • 12 minutes "Europe’s Energy Crisis Has Ended Its Era Of Abundance" by Irina Slav
  • 13 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 6 hours Is Europe heading for winter of discontent with extensive gas shortages?
  • 2 days "False Flag Planted In Nord Stream Pipeline, GFANZ, Gore, Carney, Net Zero, U.S. Banks, Fake Meat, and more" - NEWS in 28 minutes
  • 3 days ""Green" Energy Is a Scam. It Isn't MEANT to Work." - By James Corbett of The Corbett Report
  • 2 days Wind droughts
  • 9 days Kazakhstan Is Defying Russia and Has the Support of China. China is Using Russia's Weakness to Expand Its Own Influence.
  • 11 hours "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 1 day Australian power prices go insane
  • 4 days Xi Is Set To Be Re-Elected As China’s Leader
  • 2 days Europeans and Americans are beginning to see the results of depending on renewables.
  • 4 days 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 6 hours "Dodgy Demand Data? The Oil Price Collapse Conspiracy" by Alex Kimani
  • 12 hours Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Growing Crude Inventories Put A Cap On Oil Prices

Crude oil prices fell today after the Energy Information Administration reported an oil inventory build of 4.3 million barrels for the week to November 6.

The authority also reported a 2.3-million-barrel fall in gasoline stocks and a 5.4-million-barrel decline in distillate fuel inventories for the period.

The figures compared with a crude oil stock draw of 8 million barrels for the previous week, which pushed prices higher for a day, along with a 1.5-million-bpd build in gasoline inventories and a decline of 1.6 million barrels in distillate fuel inventories.

Gasoline production last week rose from the previous week, averaging 9.3 million bpd. Distillate fuel production averaged 4.2 million bpd, down on the week.

Refineries processed 13.4 million bpd of crude oil last week, a decline on the previous week, as we move closer to the winter season and even more subdued demand for fuels.

The EIA report could shake the price rally we have witnessed since the start of the week. The rally was caused by an announcement from Pfizer that its vaccine candidate for Covid-19 was showing promising efficacy results, combined with the latest election news from the U.S., even though a Biden presidency will not be that good for the oil industry.

On top of that, OPEC+ suggested it could deepen the oil production cuts it has been maintaining since May this year, boosting bullishness in oil-trading circles.

The pandemic situation, however, remains grim, and it would not take much to end the rally. Global Covid-19 passed the 50-million mark last week, and the United States remains the most heavily affected country with more than 10 million total infections and a death toll of over 245,000.

Europe is also grappling with the virus, tightening movement restrictions further to contain the spread of the disease.

These are not exactly circumstances conducive to oil demand improvement, so once the elation caused by Pfizer’s announcement dissipates, oil prices would need another piece of good news to counter the pandemic updates and Libya’s intention to keep pumping as much oil as it can.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News