• 4 minutes China 2019 - Orwell was 35 years out
  • 7 minutes Wonders of US Shale: US Shale Benefits: The U.S. leads global petroleum and natural gas production with record growth in 2018
  • 11 minutes Trump will capitulate on the trade war
  • 14 minutes Glory to Hong Kong
  • 38 mins Yesterday Angela Merkel stopped Trump technology war on China – the moral of the story is do not eavesdrop on ladies with high ethical standards
  • 5 hours China's Blueprint For Global Power
  • 6 mins IMO 2020:
  • 12 hours World Stocks Drop And Futures Tread Water After China Reports Worst GDP Growth In 30 Years
  • 2 hours Brexit agreement
  • 3 hours The Ultimate Heresy: Technology Can't Fix What's Broken
  • 19 hours National Geographic Warns Billions Face Shortages Of Food And Clean Water Over Next 30 Years
  • 16 hours Why did Aramco Delay IPO again ? It's Not Always What It Seems.
  • 20 hours Joe Biden, his son Hunter Biden, Ukraine Oil & Gas exploration company Burisma, and 2020 U.S. election shenanigans
  • 20 hours ABC of Brexit, economy wise, where to find sites, links to articles ?
  • 12 hours Deepwater GOM Project Claims Industry First
  • 24 mins Idiotic Environmental Predictions
Alt Text

US Shale Production Is Set For A Steep Decline

The once-booming U.S. shale revolution…

Alt Text

Bearish Inventory Report Sends Oil Prices Lower

Crude oil prices fell further…

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 Rises After EIA Reports Crude Inventory Draw

A day after the American Petroleum Institute once again surprised traders by reporting an estimated build in U.S. crude oil inventories, the Energy Information Administration released its own estimate, saying inventories had shed 4.8 million barrels in the week to August 30.

This compares with a draw of as much as 10 million barrels for the previous week, which propped up prices, reversing yet another slide brought about by concerns about U.S.-China trade relations.

It was news on the same topic that yesterday lifted prices, despite API’s estimate of an inventory build. U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin told media yesterday that talks with Chinese officials have been scheduled for “the coming weeks” in Washington. This rekindled hopes for a deal despite the recent exchange of yet more tariffs between the two.

Meanwhile, the EIA also reported a gasoline inventory draw of 2.4 for the last week of the summer driving season, with distillate fuels shedding 2.5 million barrels in the period. This compared with a 2.1-million decline in gasoline inventories in the week before, and the same-size draw in distillate fuel inventories.

Refineries processed 17.4 million bpd of crude last week, producing 10.3 million bpd of gasoline and 5.2 million bpd of distillates. This compared with a flat processing rate a week earlier, with gasoline production at 10.7 million bpd and distillate fuel production at 5.2 million bpd.

The trade war between the U.S. and China has become the number-one factor to watch when forecasting oil demand trends, overtaking even OPEC policies and the rising U.S. crude oil production. With the trade conflict already hurting economies around the world, all eyes are on the negotiating table with hopes this time the talks would yield a deal.

It’s anyone’s guess whether this will happen, however. Neither side seems all too willing to make any concessions even though both economies have suffered the consequences of the conflict.

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
Download on the App Store Get it on Google Play