• 3 minutes Natural gas is crushing wind and solar power
  • 7 minutes OPEC and Russia could discuss emergency cuts
  • 11 minutes Is Pete Buttigieg emerging as the most likely challenger to Trump?
  • 29 mins So the west is winning, is it? Only if you’re a delusional Trump toady, Mr Pompeo, by Simon Tisdall
  • 5 hours Fight with American ignorance, Part 1: US is a Republic, it is not a Democracy
  • 3 hours Blowout videos
  • 1 hour Question: Why are oil futures so low through 2020?
  • 10 hours Charts of COVID-19 Fatality Rate by Age and Sex
  • 4 hours Don't sneeze. Coronavirus is a threat to oil markets and global economies
  • 4 hours The Arithmetic Of Fracking
  • 8 hours CDC covid19 coverup?
  • 9 hours “The era of cheap & abundant energy is long gone. Money supply & debt have grown faster than real economy. Debt saturation is now a real risk, requiring a global scale reset.”"We are now in new era of expensive unconventional energy
  • 18 hours Shorting Gold
  • 1 day Peak Shale Will Send Oil Prices Sky High
  • 2 days Phase One trade deal, for China it is all about technology war
Alt Text

Oil Recovers From Last Night’s Nosedive

The latest crude oil price…

Alt Text

OPEC Aims For 600,000 Bpd Cut, But Russia Remains Reluctant

OPEC+ officials have recommended additional…

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 Rebound On Crude, Gasoline Inventory Draws

The Energy Information Administration reported a large crude oil draw of 4.1 million barrels for the week to June 8, after a 2.1-million-barrel increase a week earlier.

A day earlier, the EIA said in its latest Short-Term Energy Outlook that in May, oil production in the United States averaged 10.7 million bpd, forecasting the average for 2018 at 10.8 million bpd. That’s up from 9.4 million bpd in 2017.

For gasoline, the authority estimated a 2.3-million-barrel draw in inventories, with the average daily production at 10.5 million barrels, versus a hefty 4.6-million-barrel build and daily production of 9.7 million barrels a week earlier.

Distillate inventories last week were down by 2.1 million barrels, which compares with a build of 2.2 million barrels in the prior week. Distillate production in the week to June 8 averaged 5.1 million barrels daily, versus 5.3 million bpd in the previous two weeks.

The EIA report follows API’s estimate of a moderate build of 800,000 bpd in crude oil inventories, which fell short of analyst expectations for a draw of 2.74 million barrels. It also comes amid reports that both Russia and Saudi Arabia are now exceeding their production quotas ahead of the June 22 meeting of the OPEC+ club. Related: Can Saudi Arabia Prevent The Next Oil Shock?

The latest update from that camp is that Russia may offer its partners a return to production rates from October 2016, which most participants in the cut deal took as a basis for the cuts. Russia itself agreed to cut 300,000 bpd from its October production average, which was a record 11.2 million bpd.

Adding to headwinds, Reuters reported earlier today that crude oil in floating storage in Europe had hit an 18-month high, at 12.9 million barrels, or over a quarter of global floating oil storage.

At the time of writing, West Texas Intermediate traded at US$66.03 a barrel and Brent crude was at US$75.83 a barrel.

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