US Crude Oil Stocks Update

The American Petroleum Institute (API) reported a drop in US crude stocks, estimating a decrease to 4.49 million barrels for the week ending May 2nd, which came after analysts had predicted a reduction of 2.5 million barrels. Previously, the API noted an increase of 3.76 million barrels in the prior week.

On the whole, crude oil inventories have risen by over 18 million barrels, based on calculations from API data.

This week, the Department of Energy (DOE) indicated that the Strategic Petroleum Reserve (SPR) crude oil stocks have climbed to 600,000 barrels, culminating at 399.1 million barrels for the week ending May 2nd. These levels still fall short compared to the hundreds of millions held before the withdrawals that took place during the Biden administration.

At around 2:50 PM ET, Brent Crude prices showed an increase of $1.83, or 3.04%, reaching $62.06 per barrel, marking the lowest price in several years in the wake of OPEC’s weekend announcement.

West Texas Intermediate (WTI) also saw a decline, dropping by $1.86, equivalent to 3.26%, to settle at $58.99, down by $1.20 from the previous week’s rate.

In terms of gasoline stocks, a decline to 1.97 million barrels was noted for the week ending May 2nd, following a fall of 3.14 million barrels the week before. Currently, gasoline inventories are approximately 4% below the five-year average for this time of year.

This week, distilled stocks experienced an uptick of 2.2 million barrels after a previous decrease of 2.52 million barrels. According to the latest EIA data, these stocks remain about 13% below the five-year average for the week that ended on April 25th.

Meanwhile, Cushing inventory, which is crucial for trading benchmark crude in Cushing, Oklahoma, gained 854,000 barrels after a 674,000-barrel increase in the prior week.