• 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
  • 6 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 1 day Could Someone Give Me Insights on the Future of Renewable Energy?
  • 1 day How Far Have We Really Gotten With Alternative Energy
  • 1 day The United States produced more crude oil than any nation, at any time.
  • 3 hours "What’s In Store For Europe In 2023?" By the CIA (aka RFE/RL as a ruse to deceive readers)
  • 8 hours Bankruptcy in the Industry
OPEC+ Can Stop An Oil Rally To $100

OPEC+ Can Stop An Oil Rally To $100

The OPEC+ group could influence…

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 Rise After EIA Reports Draw Across The Board

Oil shipping

Amid rising oil prices following President Trump’s withdrawal from the Iran nuclear deal, the Energy Information Administration added to the bullish sentiment by reporting a draw of 2.2 million barrels in U.S. crude oil inventories.

Analysts polled by IG had expected a moderate build of 160,000 barrels, while a Reuters poll suggested inventories would be down by 1.2 million barrels.

In the prior week, the EIA had reported a substantial build in crude oil stockpiles, which pressured prices, albeit moderately, even though it was coupled with yet another weekly increase in production and a surprise build in gasoline inventories.

In the week to May 4, gasoline inventories fell by 2.2 million barrels, the EIA reported, which compares with a 1.2-million-barrel increase a week earlier. Gasoline production averaged 9.9 million barrels per day last week, down from the prior week, when refineries produced 10 million bpd.

Distillate inventories were also down, by 3.8 million barrels, after a decline of 3.9 million barrels a week earlier. Distillate production last week averaged 5 million barrels daily, unchanged from a week earlier.

West Texas Intermediate was trading at US$70.91 a barrel at the time of writing, with Brent crude at US$76.93, both up by more than 2 percent after Trump’s Iran announcement.

U.S. oil production likely continued to rise, after hitting 10.62 million bpd two weeks ago. This should be bearish for oil but not in the current circumstances, with the market expecting a substantial drop in Iranian oil exports and with Venezuelan oil production at a 70-year low.

Even Saudi Arabia’s stated readiness to increase production to make up for any shortages resulting from the U.S. withdrawal from the Iran deal and the consequent sanctions is unlikely to have any palpable effect on oil prices right now.

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
  • Neil Dusseault on May 09 2018 said:
    "Oil Prices Rise After EIA Reports Draw Across The Board"

    Really? Because the EIA reported an inventory build in oil stocks at Cushing of 1,388,000 barrels.

    "Even Saudi Arabia’s stated readiness to increase production to make up for any shortages resulting from the U.S. withdrawal from the Iran deal and the consequent sanctions is unlikely to have any palpable effect on oil prices right now."

    Wow...So, Saudi Arabia's willingness to pick up Iran's market share is finally acknowledged, only to be downplayed as if we are now down to our last drop of oil.

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