• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 2 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 10 mins How Far Have We Really Gotten With Alternative Energy
  • 11 hours If hydrogen is the answer, you're asking the wrong question
  • 4 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 6 days The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
  • 23 hours Biden's $2 trillion Plan for Insfrastructure and Jobs
  • 5 days "What’s In Store For Europe In 2023?" By the CIA (aka RFE/RL as a ruse to deceive readers)
Biden’s SPR Gamble Sparks Debate Over U.S. Energy Security

Biden’s SPR Gamble Sparks Debate Over U.S. Energy Security

The Biden Administration has significantly…

Oil Inches Higher on Fuel Inventory Draws

Oil Inches Higher on Fuel Inventory Draws

Crude prices inched higher on…

Exxon Threatens to Derail Chevron's Acquisition of Hess

Exxon Threatens to Derail Chevron's Acquisition of Hess

Exxon is challenging Chevron's acquisition…

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

Oil Jumps On Hefty Crude Draw

The Energy Information Administration reported a huge oil inventory draw of 9.5 million barrels for the week to July 5, confirming and even exceeding the American Petroleum Institute’s estimate of an 8.13-million-barrel draw.

Today’s figure follows an estimated a 1.1-million-barrel draw in oil inventories for the last week of June.

In gasoline, the EIA reported a draw of 1.5 million barrels for last week, which compares with a draw of 1.6 million barrels a week earlier. Gasoline production averaged 10.4 million bpd, which compares with 9.9 million bpd a week earlier.

In distillate fuels, the authority reported an increase in inventories of 3.7 million barrels, versus a build of 1.4 million barrels for the previous week. Production last week averaged 5.4 million bpd, compared with 5.3 million bpd a week earlier.

As oil producers begin to evacuate staff from their platforms in the Gulf of Mexico ahead of a possible storm, oil prices continued upwards, booking their fourth consecutive daily gain in a row. Among the factors driving them higher, in addition to the now chronic Middle Eastern tension, was the news Russia’s oil production had fallen near a three-year low in June, later supported by API’s inventory report.

On the flip side for prices, worry about the direction the global economy is taking continues as persistent as the fears of an open military conflict in the Middle East only with a negative effect on prices.

As demonstrated after OPEC’s announcement about an extension to the 1.2-million-bpd production cuts into 2020, traders are too concerned with global economic growth and, consequently, crude oil demand. For now, this concern is keeping a lid on prices despite the recent rally.

At the time of writing, Brent crude was trading at US$65.98 a barrel, with West Texas Intermediate at US$59.52 a barrel. Both were up by almost three percent from yesterday’s close. This week’s hurricane updates will probably act as additional tailwind for WTI in the next few days and maybe into next week.

By Irina Slav for Oilprice.com

ADVERTISEMENT

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • bob bobert on July 10 2019 said:
    Draw, the most useless measure of all. Draw, fill. That's how business works.
  • Brett Blaikie on July 10 2019 said:
    there seems to be a disconnect between prediction and reality - we're getting the opposite of what is predicted for several months now
  • Johnny Larkin on July 10 2019 said:
    @bob bobert

    Draw means demand,fill means supply.That is how world economy works,especially when supply is on the highest level.With highest production inventories are draining what is good good sign for world's economy and for oil producer which means more profit.

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