Weekly supply data from the Energy Information Administration:
- Prior was +234K
- The API report showed a 4.6m barrel build
- Gasoline +4563K vs 1900K exp
- Distillates -1025K vs +800K exp
- Production 9.235mbpd up 0.008%
- Production up 0.5% y/y
There has been a focus on the massive swells in gasoline and distillate inventories for the past two weeks. The big build in gasoline will likely outweigh the surprise drawdown in distillates but I also think there may be bottom-pickers in oil who were waiting until after this report to jump in.
Update: Bottom pickers indeed. Oil rips after the data dip.
