• 3 minutes Could Venezuela become a net oil importer?
  • 7 minutes Reuters: OPEC Ministers Agree In Principle On 1 Million Barrels Per Day Nominal Output Increase
  • 12 minutes Battle for Oil Port: East Libya Forces In Full Control At Ras Lanuf
  • 4 hours Oil prices going Up? NO!
  • 13 hours Renewables to generate 50% of worldwide electricity by 2050 (BNEF report)
  • 13 hours Reuters: OPEC Ministers Agree In Principle On 1 Million Barrels Per Day Nominal Output Increase
  • 18 hours Oil prices going down
  • 21 hours Could oil demand collapse rapidly? Yup, sure could.
  • 11 hours China’s Plastic Waste Ban Will Leave 111 Million Tons of Trash With Nowhere To Go
  • 2 days Oil Buyers Club
  • 2 days Gazprom Exports to EU Hit Record
  • 18 hours Saudi Arabia turns to solar
  • 2 days Could Venezuela become a net oil importer?
  • 5 hours Are Electric Vehicles Really Better For The Environment?
  • 5 hours Kenya Eyes 200+ Oil Wells
  • 20 hours Battle for Oil Port: East Libya Forces In Full Control At Ras Lanuf
  • 1 day Russia's Energy Minister says Oil Prices Balanced at $75, so Wants to Increase OPEC + Russia Oil by 1.5 mbpd
  • 19 hours Tesla Closing a Dozen Solar Facilities in Nine States
  • 11 hours OPEC soap opera daily update
Oil Markets Turn Bearish Ahead Of OPEC Meeting

Oil Markets Turn Bearish Ahead Of OPEC Meeting

Oil prices fell on Tuesday…

The Last Oil Frontier In The Gulf Of Mexico

The Last Oil Frontier In The Gulf Of Mexico

The potential of the U.S.…

Oil Prices Slammed After API Reports Surprise Build In Crude Inventories

oil tanker

The American Petroleum Institute (API) reported a surprise build of 1.779 million barrels in United States crude oil inventories, compared to S&P Global Platts survey of analysts who expected a draw of 2.8 million barrels for the week ending July 21. This week’s build comes after a major draw last week.

Gasoline inventories fell this week, more sharply than expected, with a 4.827-million-barrel draw for the week ending July 28, compared to analyst expectations that inventories for the fuel would fall by 1.3 million barrels.

Crude prices began to slip on Tuesday despite the expectations of another draw in crude oil stockpiles this week, as reports surfaced that OPEC’s crude oil exports rose 388,000 bpd in July, according to figures from energy data provider Kpler. Prices had increased on Monday on news that the United States might impose sanctions on Venezuelan oil—but that possibility is now looking more remote.

At 12:24pm, WTI had fallen 3.05% to $48.64, with Brent Crude down 2.94% at $51.17. per barrel. WTI had opened above $50 on Tuesday for the first time since May.

Gasoline was also trading down on the day before the data release, by 1.94% at $1.644.

Crude oil inventories in the US began its downward slide in early April, and have continued to fall, erasing all of the inventory that was built between January and April. According to the API, today’s build brings the total inventory for crude oil in 2017 to a net draw of 5.755 million barrels.

Related: This Oil Price Rally Has Reached Its Limit

(Click to enlarge)

Distillate inventories also fell this week, by 1.225 million barrels, while inventories at the Cushing, Oklahoma, site increased by 2.562 million barrels.

By 4:39pm EST, WTI was trading at $49.15 with Brent Crude trading at $51.75.

The U.S. Energy Information Administration report on oil inventories is due on Wednesday at 10:30 a.m. EDT.

By Julianne Geiger for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment
  • John on August 02 2017 said:
    Slammed, huh?
  • jack ma on August 01 2017 said:
    Oil prices slammed? Hold back on the drama just a bit maybe. Oil dropped a buck and change and the build was what ....like one hour maybe of the world oil burn rate. LOL. Keep it real...
  • Rational Man on August 01 2017 said:
    OPEC = Organization of Petroleum Exporting CLOWNS. Not expecting them to get their act together any time soon, nor is any rational investor. Thanks clowns for keeping the gas cheap at the pump!

Leave a comment

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