NEW YORK (DTN) -- New York Mercantile Exchange oil futures rallied in midmorning trade Wednesday after the Energy Information Administration reported a surprise stock draw for domestic commercial crude oil, with supplies of refined products also drawn down as demand increased during the week-ended May 6.
The EIA's weekly data were more bullish than American Petroleum Institute data released Tuesday afternoon and added to supply outages in Canada, Nigeria and Libya that have supported the oil futures complex since last week.
At 11:05 AM ET, NYMEX June West Texas Intermediate crude futures were up 89cts at $45.55 bb, off a two-day spot high of $45.86. July Brent crude futures on the IntercontinentalExchange were $1.20 higher at $46.72 bbl, off a one-week spot high of $47.04.
In products trade, NYMEX June ULSD futures jumped 3.62cts to $1.3737 gallon, off a one-week spot high of $1.3814. NYMEX June RBOB futures rallied 4.95cts to $1.5352 gallon, near a one-week spot high of $1.5453.
The EIA reported crude oil inventories slid 3.4 million bbl to 540.0 million bbl during the week-ended May 6. Analysts surveyed by Schneider Electric called for a build of 1.0 million bbl while API on Tuesday reported a 3.4 million bbl crude stock build.
EIA reported total motor gasoline inventories dropped 1.2 million bbl to 240.6 million bbl last week versus an expected 1.7 million bbl draw down while API reported a 271,000 build for the fuel.
The agency also showed distillate fuel inventories declined 1.6 million bbl to 155.3 million bbl last week while the market expected a drawdown of 1.7 million bbl and API reported a draw of 1.4 million bbl.
On demand side of the ledger, refinery crude inputs rose 193,000 bpd while implied gasoline demand rose 156,000 bpd and implied distillate demand climbed 68,000 bpd.
On Tuesday, EIA's Short-term Energy Outlook report sharply raised its global oil demand growth forecast for 2015 through 2017 versus April levels.
George Orwel can be reached at email@example.com
© Copyright 2016 DTN/The Progressive Farmer. All rights reserved.