US weekly oil data from the Energy Information Administration:

  • Prior was +2629K
  • Gasoline inventories +10,576K vs +1800K exp
  • Prior gasoline inventories +925K
  • Distillate inventories +6308K vs +200K exp
  • Prior distillates +1795K
  • Refinery utilization -0.1% vs -0.33% exp
  • Prior refinery utilization +1.3%

The +500K 'expected' number is an illusion after yesterday's API data, which showed a 5600K drawdown. The Bloomberg whisper estimate was -4100K. API forecast gasoline stocks to rise 7100K, which may balance out the bullish crude data.

The massive builds in gasoline and distillate might curb any excitement about the surprise crude drawdown.

Update: the rise in gasoline inventories was the most since May 1993.

The market is continuing to sell oil here and saying that if there's that much of a surplus of gasoline, it will result in refineries buying less oil in the very near future.