Oil Moves Higher After EIA Report
Oil Moves Higher After EIA Report
NEW YORK (DTN) -- New York Mercantile Exchange oil futures moved higher in midmorning trade after the U.S. Energy Information Administration reported a bigger-than-expected crude stock draw, a larger-than-expected gasoline stock decline and an unexpected distillate fuel stock build during the week-ended Aug. 12.
At 11:00 AM ET, NYMEX September West Texas Intermediate crude futures advanced 12cts to $46.70 bbl, and has traded to $46.79 fresh one-month spot high. October Brent on IntercontinentalExchange advanced 40cts to $49.68 bbl, and has since traded to a $49.75 new five-week spot high.
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In products trade, NYMEX September ULSD futures rose 1.30cts to $1.4743 gallon, off a $1.4826 five-week spot high. The NYMEX September RBOB futures contract rose 2.39cts to $1.4465 gallon, and have since posted a fresh one-month high of $1.4497.
The EIA data detailed a 2.5 million bbl crude stock draw, surpassing a 1.3 million bbl decline shown in a survey by Schneider Electric. At the Cushing terminal in Oklahoma, the delivery point for the WTI contract, crude stocks fell 700,000 bbl, in line the American Petroleum Institute with but more than an expected draw of 500,000 bbl.
API late Tuesday reported a crude stock draw pf 1.0 million bbl for the week reviewed and a Cushing stock draw of 700,000 bbl.
Domestic crude production rose 152,000 bpd to 8.597 million bpd, the highest since late June, according to the EIA data.
For products, EIA reported a 2.7 million bbl stock draw for gasoline, which surpasses an expected 1.7 million bbl draw while API reported an increase of 2.2 million bbl. Distillate fuels stocks increased 1.9 million bbl for the week reviewed, said EIA, instead of an expected draw of 700,000 bbl, while API reported a build of 2.4 million bbl.
On the demand side of the ledger, refinery crude inputs jumped 268,000 bpd to 16.865 million bbl for the week-ended Aug. 12, while implied gasoline demand fell 7,000 bpd to 9.762 million and distillate fuel implied demand tumbled 449,000 bpd to 3.488 million bpd.
The oil futures complex rallied during the prior four sessions amid talk the Organization of Petroleum Exporting Countries and non-OPEC would take action to stabilize oil prices when they informally meet late next month alongside a separate oil conference in Algiers set to be held Sept. 26-28.
(BAS)
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