• 2 minutes Rational analysis of CV19 from Harvard Medical School
  • 4 minutes While U.S. Pipelines Are Under Siege, China Streamlines Its Oil and Gas Network
  • 7 minutes Renewables Overtake Coal, But Lag Far Behind Oil And Natural Gas
  • 10 mins China wields coronavirus to nationalize American-owned carmaker
  • 1 hour Joe Biden the "Archie Bunker" of the left selects Kamala Harris for VP . . . . . . Does she help the campaign ?
  • 7 hours Open letter from Politico about US-russian relations
  • 3 days Trumpist lies about coronavirus too bad for Facebook - BANNED!
  • 1 day US will pay for companies to bring supply chains home from China: Kudlow - COVID-19 has highlighted the problem of relying too heavily on one country for production
  • 3 days China's impending economic meltdown
  • 11 mins COVID&life and Vicious Circle: "Working From Home Is Not Panacea For Virus"
  • 6 hours Oil Tanker Runs Aground in Mauritius - Oil Spill
  • 16 hours Trump is turning USA into a 3rd world dictatorship
  • 3 days Why Oil could hit $100
  • 3 days The Truth about Chinese and Indian Engineering
  • 1 min Trump Hands Putin Major Geopolitical Victory
  • 2 days What the heroin industry can teach us about solar power (BBC)
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 Prices Steady After EIA Confirms Much Smaller Draw

Crude oil prices remained steady today after the Energy Information Administration confirmed an API estimate of a crude oil inventory draw but a much smaller one than API’s 10.18 million barrels. The authority reported crude oil inventories in the United States had gone down by 1.2 million barrels in the week to December 7, the second weekly draw after a string of weekly increases, after a draw of 7.3 million barrels a week earlier.

Oil prices have proved stubborn in the last couple of weeks, moving up and down by too little for the comfort of those who would like to see them higher in light of some strong tailwinds such as OPEC’s agreement to cut production and a major field outage in Libya.

Yet it seems the relentless increase in U.S. production is countering these tailwinds. Daily output is likely to have continued rising last week, but the actual numbers will become public at a later time, when the EIA processes production data from companies in the sector.

In gasoline, the EIA said inventories had gone up by 2.1 million barrels in the first week of December, with daily production at 10.5 million barrels, versus 9.7 million bpd a week earlier.

In distillate fuel, the authority reported a daily production rate of 5.5 million barrels and an inventory decline of 1.5 million barrels. A week earlier, refineries churned out 5.6 million bpd of distillate fuel. In total, refineries last week processed 17.4 million bpd of crude, down from a week earlier.

Analysts seem to be beginning to worry the supply cut announced by OPEC+ would not be enough to compensate projections for slowing demand growth as pressure increases on emerging economies.

What’s more, Russia said it will reduce its production slowly and gradually, justifying the decision with challenging winter conditions, which means the reduction in global supply will not be felt as quickly as it would have otherwise, serving to relieve some of the worry. Acting fast on these concerns, Reuters reports, money managers have reduced their long positions on both Brent and WTI to three-year lows since the beginning of December.

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




Oilprice - The No. 1 Source for Oil & Energy News