Wire flash
FinanceEIA reports surprise 3.0 mln barrel crude build; gasoline, distillate stocks fall
Editorial responsibility
- No named human review is recorded for this page.
- Source reporting is collected, normalized, translated or condensed automatically when needed.
- Automatically published source-backed update
The U.S. Energy Information Administration (EIA) reported a surprise increase of 3.0 million barrels in crude oil inventories for the week ending July 3, bringing commercial stockpiles to 411.4 million barrels, which are 6% below the five-year average. This contrasts with the American Petroleum Institute's (API) estimate of a 399,000-barrel draw. Despite the inventory build, crude oil futures surged in early trading following U.S. President Donald Trump's announcement that the ceasefire with Iran was over after Iranian attacks on tankers in the Strait of Hormuz. Brent crude rose 4.33% to $77.37 per barrel, while WTI gained 4.22% to $73.41. The EIA also reported decreases in gasoline inventories (down 1.9 million barrels) and distillate inventories (down 5.0 million barrels), with distillate stocks now 12% below the five-year average. Total U.S. oil demand averaged 20.6 million barrels per day over the last four weeks, up 0.3% year-over-year.
Source report
Crude oil inventories in the United States posted an unexpected increase of 3.0 million barrels for the week ending July 3, according to data released Wednesday by the U.S. Energy Information Administration (EIA). The build brought commercial stockpiles to 411.4 million barrels, which are now 6% below the five-year average for this time of year.
The EIA data follows figures released a day earlier by the American Petroleum Institute (API), which reported a small draw of 399,000 barrels in crude oil inventories over the same period.
Crude Futures Rise on Geopolitical Tensions
Crude futures climbed in early morning trading after U.S. President Donald Trump announced that the ceasefire with Iran had ended, following Iranian attacks on tankers in the Strait of Hormuz.
At 8:45 a.m. in New York:
- Brent futures traded at $77.37 per barrel, up $3.21 (+4.33%) on the day and more than $5 per barrel higher than the same time last week.
- WTI traded at $73.41 per barrel, up $2.97 (+4.22%) on Wednesday morning.
Motor Gasoline and Distillate Inventories Decline
For total motor gasoline, the EIA reported a decrease of 1.9 million barrels in inventories, compared to a build of 2.3 million barrels the prior week. Average daily gasoline production fell to 9.7 million barrels.
For middle distillates:
- Inventories decreased by 5.0 million barrels.
- Production fell to an average of 5.2 million barrels per day.
- Distillate inventories are now 12% below the five-year average.
U.S. Oil Demand Overview
Total products supplied—a proxy for U.S. oil demand—averaged 20.6 million barrels per day over the last four weeks, up 0.3% compared to the same period last year.
- Gasoline demand averaged 9.0 million barrels per day over the last four weeks.
- Distillate demand (four-week average supplied) averaged 3.8 million barrels per day, down 0.9% year over year.
By Julianne Geiger for Oilprice.com
More Top Reads From Oilprice.com
Source
OilPrice.com Daily News UpdateWestern
Part of this Story
U.S. crude oil inventories drop for sixth straight week, SPR continues drawdown