Following last week's major surge in crude inventories, API reported a 2.6mm build (against expectations of a 3.1mm build) - 7th week in a row - which briefly jumped crude prices higher. A 319k draw at Cushing combined with draws in Gasoline (6th week in a row) and Distillates left oil pushing back to late-day highs.
API Details:
- Crude +2.5mm (+3.1mm exp.)
- Cushing -319k (confirming Genscape
- Gasoline -1.94m
- Distillates -95k
For now, it seems the market is being driven by gasoline so tomorrow's DOE report on implied demand will be critical
The reaction in crude - after a volatile day..
Charts: Bloomberg