U.S. Crude Oil Stocks Decline
U.S. crude oil inventories dropped by 3.6 million barrels in the week ending June 6, as reported by the U.S. Energy Information Administration (EIA) on Wednesday. This follows before the EIA’s announcement of encouraging developments in trade discussions between the U.S. and China.
On Tuesday, the American Petroleum Institute (API) indicated a decrease of 370,000 barrels in U.S. crude oil stocks. It also noted significant increases in gasoline and distilled products.
As of 10:10 AM in New York, Brent crude was trading at $68.05 per barrel, up $1.18 (1.76%), while West Texas Intermediate (WTI) reached $66.37 per barrel, an increase of $1.39 (2.14%).
The EIA projected that the total inventory of motor gasoline rose by 1.5 million barrels weekly, with daily production climbing from 9 million barrels last week to an average of 9.7 million barrels.
For intermediate distillates, there was an estimated increase of 1.2 million barrels, although daily production fell to 4.9 million barrels—compared to a 4.2 million barrel inventory uptick the previous week when production averaged 5 million barrels per day. Currently, distillate stocks are approximately 17% lower than the five-year average for this time of year.
Over the last four weeks, the total products supplied average increased to 19.9 million barrels per day, marking a 0.5% rise from the previous year. In contrast, distilled products supplied during this period saw a decline of 5.9%, while gasoline supplies dropped by 2.5% year-on-year.
