U.S. crude oil inventories fall more than expected in week
U.S. crude stocks fell in the latest week while gasoline and distillate inventories rose, the Energy Information Administration said.
U.S. crude oil production rose to a record high of 13 million barrels per day in the week, the EIA said.
Crude inventories fell by 2.5 million barrels in the last week to 428.5 million barrels, much more sharply than the 474,000-barrel drop analysts had expected in a Reuters poll.
“What sticks out for me is the dramatic builds we saw in products decidedly overtaking the sentiment here, despite the draw in crude oil,” said Tony Headrick, energy markets analyst at CHS Hedging.
Crude and products futures turned negative after the data. U.S. crude traded down 57 cents at $57.67 a barrel by 11:27 a.m.
Crude stocks at the Cushing, Oklahoma, delivery hub rose by 342,000 barrels in the last week, EIA said.
Refinery crude runs rose by 76,000 barrels per day in the last week, EIA said.
Refinery utilization rates fell by 0.8 percentage points, in the week
U.S. gasoline stocks rose by 6.7 million barrels in the week to 258.3 million barrels, the EIA said, compared with analysts’ expectations in a Reuters poll for a 3.4 million-barrel rise.
Distillate stockpiles, which include diesel and heating oil, rose by 8.2 million barrels in the week to 147.2 million barrels, versus expectations for a 1.2 million-barrel rise, the EIA data showed.
“That’s just a gigantic build at a time of year when you’re supposed to be getting draws to heat people’s houses,” said Bob Yawger, director of energy futures at Mizuho in New York.
Net U.S. crude imports fell last week by 595,000 barrels per day in the last week, EIA said.
Reporting By Jessica Resnick-Ault; Editing by David Gregorio
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