Oil Futures Higher After EIA Report

Oil Futures Higher After EIA Report

NEW YORK (DTN) -- New York Mercantile Exchange oil futures turned higher in midmorning trade Wednesday following the release of weekly oil inventory report showing a bigger than expected draw down in crude oil stocks in the United States.

The Energy Information Administration's report for the week-ended Nov. 18 showed a 1.3 million bbl crude stock draw and a bigger-than-expected 2.7 million bbl gasoline stock build. Distillate supplies unexpectedly rose 326,000 bbl, EIA said.

At the Cushing supply hub in Oklahoma, crude inventories dipped 100,000 bbl to 59.1 million bbl as expected, EIA data shows.

Demand data was mixed, up 177,000 bpd for distillates but down 335,000 bpd for gasoline. Crude oil refinery inputs, a proxy for crude demand, rose 271.000 bpd for the week reviewed.

Near 11:00 AM ET, NYMEX January West Texas Intermediate crude futures rose 13cts to $48.18 bbl. The January Brent crude futures on the ICE futures complex rose 5cts to $48.17 bbl.

The NYMEX December ULSD futures contract edged up 0.85cts to $1.5348 gallon and the December RBOB futures contract rose 1.07cts to $1.4205 gallon.

The EIA report largely confirmed what the American Petroleum Institute reported late Tuesday.

Oil futures came off early this morning on the back of a stronger dollar and disappointment over the delay in reaching a deal to cut production by the Organization of Petroleum Exporting Countries.