EIA oil inventory data shows a +9.382M build vs +0.863M estimate

The weekly EIA oil inventory data shows:

• oil inventories build of 9.382M versus +0.863M estimate
• gasoline inventories drawdown of -3.649M versus-0.388M estimate
• distillates drawdown of -2.902M barrels versus -0.515M estimate
• Cushing saw a build of 0.450M vs last week build of 1.654M

The private data last night showed:

•  crude oil  Crude Oil Crude oil is the most popular tradable instrument in the energy sector, offering exposure to global market conditions, geopolitical risk, and economics. The instrument is strategically relied upon and situated in the global economy. Crude oil has proven to be a unique option for traders given volatility and the efficacy of both swing trading and longer-term strategies. Despite its popularity, crude oil is a very complex investing instrument, given the litany of fluctuations in oil prices, risk, and impact of politics stemming from OPEC. Short for the Organization of the Petroleum Exporting Countries, OPEC operates as an intergovernmental organization of 13 countries, helping set and dictate the global oil market.How to Trade Crude Oil Crude oil is most commonly traded as an exchange-traded fund (ETF) or through other instruments with exposure to it. This includes energy stocks, the USD/CAD, and other investing options. Crude oil itself is traded across a duality of markets, including the West Texas Intermediate Crude (WTI) and Brent crude. Brent is the more relied upon index in recent years, while WTI is more heavily traded across futures trading at the time of writing. Other than geopolitical events or decisions by OPEC, crude oil can move due to a variety of different ways.  The most basic is through simple supply and demand, which is affected by global output. Increased industrial output, economic prosperity, and other factors all play a role in crude prices. By extension, recessions, lockdowns, or other stifling factors can also influence crude prices. For example, an oversupply or mitigated demand due to the aforementioned factors would result in lower crude prices. This is due to traders selling crude oil futures or other instruments.  Should demand rise or production plateau, traders will bid increasingly on crude, whereby driving prices up. Crude oil is the most popular tradable instrument in the energy sector, offering exposure to global market conditions, geopolitical risk, and economics. The instrument is strategically relied upon and situated in the global economy. Crude oil has proven to be a unique option for traders given volatility and the efficacy of both swing trading and longer-term strategies. Despite its popularity, crude oil is a very complex investing instrument, given the litany of fluctuations in oil prices, risk, and impact of politics stemming from OPEC. Short for the Organization of the Petroleum Exporting Countries, OPEC operates as an intergovernmental organization of 13 countries, helping set and dictate the global oil market.How to Trade Crude Oil Crude oil is most commonly traded as an exchange-traded fund (ETF) or through other instruments with exposure to it. This includes energy stocks, the USD/CAD, and other investing options. Crude oil itself is traded across a duality of markets, including the West Texas Intermediate Crude (WTI) and Brent crude. Brent is the more relied upon index in recent years, while WTI is more heavily traded across futures trading at the time of writing. Other than geopolitical events or decisions by OPEC, crude oil can move due to a variety of different ways.  The most basic is through simple supply and demand, which is affected by global output. Increased industrial output, economic prosperity, and other factors all play a role in crude prices. By extension, recessions, lockdowns, or other stifling factors can also influence crude prices. For example, an oversupply or mitigated demand due to the aforementioned factors would result in lower crude prices. This is due to traders selling crude oil futures or other instruments.  Should demand rise or production plateau, traders will bid increasingly on crude, whereby driving prices up. Read this Term +7.8 million barrels
• gasoline -5.1 million barrels
• distillates -5.0 million barrels
• Cushing +0.4 million

Oil inventories were the biggest surprise rising much higher than expectations and also higher than the private data's surprise 7.8 million barrel increase.

Gasoline inventories saw a bigger than expected  drawdown  Drawdown In financial trading, the drawdown represents the amount of money a trader can lose or has lost, following a series of losing trades. This is measured from the high of the trader’s capital to its low, over a given period of time. This is usually expressed as a percentage of a trader’s account. The current drawdown is simply the amount of money a trader’s balance has been reduced by in a given time, without necessarily closing out at that point.For example, if a trader placed an initial deposit of $4000, and started off suffering losing trades with his equity falling to $3000, in this case the trader’s drawdown would be $1000. When devising or refining a system, one of those most important statistics is the maximum drawdown. Traders typically back-test their systems in order to see what the maximum drawdown would have been over a specified time period. Assessing historical maximum drawdown by way of back-testing helps to inform the trader concerning the sustainability of the trading system. Why Drawdowns Matter for TradersDrawdowns are a necessary part of trading, since it’s impossible for a trader to have continuously winning streaks of course. The most successful traders are those who can devise a trading strategy which allows one to be able to handle long periods of losses, because these periods can and do occur. Any trader unprepared for such a scenario is putting their account at great risk. Thus, one of, if not the most important facet of trading is risk management, and knowledge of a strategy’s maximum drawdown facilitates in determining a particular investment's financial risk.Despite extensive testing of a system’s historical drawdown, it’s never going to be sufficient proof that even further extended periods of losses won’t occur. In financial trading, the drawdown represents the amount of money a trader can lose or has lost, following a series of losing trades. This is measured from the high of the trader’s capital to its low, over a given period of time. This is usually expressed as a percentage of a trader’s account. The current drawdown is simply the amount of money a trader’s balance has been reduced by in a given time, without necessarily closing out at that point.For example, if a trader placed an initial deposit of $4000, and started off suffering losing trades with his equity falling to $3000, in this case the trader’s drawdown would be $1000. When devising or refining a system, one of those most important statistics is the maximum drawdown. Traders typically back-test their systems in order to see what the maximum drawdown would have been over a specified time period. Assessing historical maximum drawdown by way of back-testing helps to inform the trader concerning the sustainability of the trading system. Why Drawdowns Matter for TradersDrawdowns are a necessary part of trading, since it’s impossible for a trader to have continuously winning streaks of course. The most successful traders are those who can devise a trading strategy which allows one to be able to handle long periods of losses, because these periods can and do occur. Any trader unprepared for such a scenario is putting their account at great risk. Thus, one of, if not the most important facet of trading is risk management, and knowledge of a strategy’s maximum drawdown facilitates in determining a particular investment's financial risk.Despite extensive testing of a system’s historical drawdown, it’s never going to be sufficient proof that even further extended periods of losses won’t occur. Read this Term but it was less than the private data. The same is true for the distillates.

The price of WTI crude oil is trading up about $1.39 or 1.32% on the day at $101.98.