Oil Higher After EIA Data
NEW YORK (DTN) -- New York Mercantile Exchange oil futures moved higher after the U.S. Energy Information Administration released mixed data showing the domestic supply of crude unexpectedly increased last week while refined products were drawn down and demand increased across the board.
At 10:50 AM ET on NYMEX, June West Texas Intermediate crude futures rose 15cts to $48.46 bbl but have since slipped below Tuesday's $48.31 settlement. July Brent on the IntercontinentalExchange edged up 9cts to $49.37 bbl but has also reversed fractionally lower.
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NYMEX June ULSD futures climbed 1.34cts to $1.4808 gallon and June RBOB futures added 0.82cts to $1.6423 gallon.
The EIA reported domestic crude stocks increased 1.3 million bbl during the week-ended May 13 while the market expected a 3.0 million bbl stock draw and the American Petroleum Institute on Tuesday reported a 1.1 million bbl stock decline.
EIA also reported a 2.5 million bbl gasoline stock draw for the week, more than an expected 700,000 bbl decline and API reported a 1.9 million bbl draw.
EIA also showed a 3.2 million bbl distillate stock draw versus declines of 2.0 million reported by API and expected by the market.
On demand side of the ledger, gasoline demand rose 97,000 bpd and distillate demand soared 312,000 bpd and refinery crude inputs ramped up 192,000 bpd.
However, the gains for the oil complex was capped by a stronger dollar, with the greenback posting a three-week high after two Federal Reserve officials called for two to three interest rate increases this year. The Fed will release minutes of the April meeting of the Federal Reserve's Open Market Committee this afternoon that will be scoured by the market for clues to the timing of the next rate hike.
George Orwel can be reached at george.orwel@dtn.com
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