• 4 minutes Why Trump Is Right to Re-Open the Economy
  • 7 minutes Did Trump start the oil price war?
  • 11 minutes Covid-19 logarithmic growth
  • 15 minutes Charts of COVID-19 Fatality Rate by Age and Sex
  • 18 minutes China Takes Axe To Alternative Energy Funding, Slashing Subsidies For Solar And Wind
  • 49 mins KSA taking Missiles from ?
  • 57 mins There are 4 major mfg of hydroxychloroquine in the world. China, Germany, India and Israel. Germany and India are hoarding production and blocked exports to the United States. China not shipping any , don't know their policy.
  • 2 hours How to Create a Pandemic
  • 4 hours Trump eyes massive expulsion of suspected Chinese spies
  • 3 hours A New Solar-Panel Plant Could Have Capacity to Meet Half of Global Demand
  • 5 hours >>The falling of the Persian Gulf oil empires is near <<
  • 7 hours Russia's Rosneft Oil Company announces termination of its activity in Venezuela
  • 2 hours Where's the storage?
  • 4 hours Oxford Epidemiologist: Here’s Why That Covid-19 Doomsday Model Is Likely Way Off
  • 8 hours Dr. Fauci is over rated.
  • 9 hours TRUMP pushing Hydroxychloroquine + Zpak therapy forward despite FDA conservative approach. As he reasons, "What have we got to lose ?"
America’s Shortage Of This Metal Keeps Trump Up At Night

America’s Shortage Of This Metal Keeps Trump Up At Night

Everything from the 5G revolution…

Gasoline Futures Fall To $0.50 As Demand Plummets

Gasoline Futures Fall To $0.50 As Demand Plummets

Gasoline futures have plummeted to…

Oil Prices Under Pressure After API Reports Large Gasoline Build

oil rig

The American Petroleum Institute (API) reported a draw of 4.079 million barrels in United States crude oil inventories, compared to more modest analyst expectations that inventories would draw only 756,000 barrels for the week ending September 29.

Gasoline inventories, on the other hand, delivered a blow with a larger than expected build of 4.19 million barrels for the week ending September 29, against an expected build of only 1.088 million barrels. Last week, too, saw a large gasoline build.

Both WTI and Brent benchmarks fell again on Tuesday after a bad Monday, both down more than a dollar week on week as reports that OPEC raised production in September by as much as 120,000 barrels per day, according to a Bloomberg survey.

WTI hitting a 7-month high last Monday at $52.22.

At 2:56pm EST, WTI was trading down 0.04% (-$0.02) at $50.44, while Brent crude traded down 0.27% (-$0.15) at $55.97.

Gasoline was trading up on Tuesday, at $1.56, down .44% on the day, but down almost 8 cents from last week.

While the inventory draws keep piling on the United States, the global supply/demand situation for crude oil is still not balanced, and fears are that OPEC’s currently proposed end date of March 2018 for the cuts will prove to be too soon.

For the US, the total draw for crude oil in 2017 now stands at just shy of 26.5 million barrels, according to API data. EIA data show a 15-million-barrel draw for year-to-date 2017, through last week’s report.

Related: This Giant Oil Trader Sees Upside For Oil Prices

(Click to enlarge)

As the United States heads into the fall, the end of driving season has many analysts forecasting a slower-paced drawdown for crude oil in the near future.

Distillate inventories fell again this week, 584,000 barrels. Inventories at the Cushing, Oklahoma, site increased by 2.084 million barrels.

By 4:40pm EST, WTI was trading down a bit after the data, at $50.38 with Brent Crude trading at $55.91.

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
  • Tim on October 03 2017 said:
    Always before an OPEC meeting. Never fails.

Leave a comment

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