EIA: US crude stocks registered another large drop on strong export activities.
The commercial crude inventories in the US registered another week of large drop, decreasing by 10.6 million barrels in the week to 25 August 2023, according to the latest report from the Energy Information Administration (EIA).
The commercial crude inventories in the US registered another week of large drop, decreasing by 10.6 million barrels in the week to 25 August 2023, according to the latest report from the Energy Information Administration (EIA). The figure beat analysts’ expectations of a 3.3 million drop.
At 422.9 million barrels, US crude stocks are now about 3% below the five-year average.
Strong export activities due to favourable WTI – Brent spread are attributed to the steep draw. Data showed the US exported about 4.5 million barrels per day during the week, up from 4.2 million barrels per day the week before.
Local production remained unchanged at 12.8 million barrels per day.
However, refineries in the country started to wind down operating rates as the summer driving season was about to end. Utilization rates fell 1.2% to 93.3% last week.
Total motor gasoline stocks dropped by 0.2 million barrels. Propane/propylene stocks, on the other hand, rose 3.2 million barrels from the previous week.