• 16 hours Trump's Revenge: U.S. Oil Floods Europe, Hurting OPEC and Russia
  • 21 hours Twitter bans Kaspersky from advertising
  • 18 hours US eases sanctions on Rusal
  • 2 days Michael Bloomberg Contributes $4.5 Million For Paris Climate Deal After Trump Bails
  • 13 hours Trump Warns Iran Against Restarting Nuclear Program
  • 19 hours Robot-mania: The U.S. Is Way Behind Other Countries On Robot "Readiness"
  • 2 hours Large-Cap Oil Earnings: What to Watch
  • 2 days Iran is panicking right now: Currency crunch and kicking it out of oil market
  • 4 hours Wind, solar deliver stunning 98 percent of new U.S. power capacity in January, February
  • 2 days Oil Prices Hit Highest Level Since 2014
  • 12 hours Oil Falls As Trump Tweet Blasts OPEC
  • 12 hours API Inventory Data (Tuesdays)
  • 2 days Investing in Oil & Gas
  • 2 days Asian Oil Demand To Hit Record - The Price Per Barrel Continues To Grow
  • 1 day Tesla Says Humans In, Robots Out
  • 2 days Trump: "Larry, go get it done,'” - US to rejoin TPP
Alt Text

Is The Cushing Oil Hub Still Relevant?

Cushing has historically been one…

Alt Text

Oil Prices Rise On Crude, Gasoline Inventory Draw

Oil prices rose on Wednesday…

Irina Slav

Irina Slav

Irina is a writer for the U.S.-based Divergente LLC consulting firm with over a decade of experience writing on the oil and gas industry.

More Info

Trending Discussions

Oil Prices Rise On Hefty Crude Inventory Draw

pipeline

Another week, another draw – this seems to be the refrain this driving season, with the API and the EIA in sync with their weekly figures most of the time.

This week has been no exception, with the EIA reporting a hefty draw in U.S. commercial oil inventories a day after the API surprised analysts by estimating inventories had declined by 9.2 million barrels.

The authority calculated commercial inventories of crude oil had gone down by 8.9 million barrels in the week to August 11, after a draw of 6.5 million barrels a week earlier.

API’s report lent some support to international prices on Tuesday amid a stronger U.S. dollar and concern about flagging demand in China. The EIA’s figures will most probably strengthen the positive effect despite the persistent glut.

The EIA also said there was no change in gasoline inventories for the week to August 11, which might be a cause for worry, after last week it said inventories of the fuel had jumped up by 3.4 million barrels, which offset the positive news of the crude inventory draw. Related: Can The Permian Push Prices Down To $40?

Refinery runs averaged 17.6 million barrels last week, the authority said in its weekly report, versus 17.4 million bpd in the week before. Daily gasoline production fell to 10 million barrels, compared with 10.3 million bpd a week earlier.

Whatever effect the EIA’s figures have on prices is bound to be short-lived as oil’s fundamentals remain largely unchanged, with rising U.S. shale output offsetting OPEC’s and its partners’ cuts that should together take off 1.8 million bpd from global supply.

Oil demand prospects are not too rosy either, despite the IEA recently revising its 2017 demand growth outlook to 1.5 million bpd from 1.4 million bpd. Improving fuel efficiency and increased adoption of EVs in the U.S. will be largely responsible for the trend.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Back to homepage

Trending Discussions


Leave a comment

Leave a comment




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