EIA: US crude oil inventories hit lowest since September 2023 as imports fall
US crude oil inventories fell sharply last week to their lowest level since September 2023, driven by a significant reduction in imports, while gasoline stockpiles edged higher as the summer driving season drew to a close
US crude oil inventories fell sharply last week to their lowest level since September 2023, driven by a significant reduction in imports, while gasoline stockpiles edged higher as the summer driving season drew to a close, the Energy Information Administration (EIA) reported.
Crude oil inventories dropped by 6.9 million barrels to 418.3 million barrels in the week ending August 30, far exceeding the 993,000-barrel draw forecasted by analysts in a Reuters poll. The steep decline in stockpiles was primarily attributed to a substantial drop in net crude imports, which plummeted by 853,000 barrels per day (bpd) to 2.0 million bpd. Conversely, U.S. crude exports rose marginally by 85,000 bpd to 3.8 million bpd, offering only limited relief to the shrinking inventories.
In the downstream sector, U.S. refineries processed an average of 16.9 million bpd, an increase of 36,000 bpd from the prior week, reflecting a robust utilization rate of 93.3% of their operable capacity.
Total motor gasoline inventories increased by 0.8 million barrels from the previous week but remain approximately 2% below the five-year average for this time of year. This modest build in gasoline stocks is typical as the market adjusts to reduced demand following the end of the peak summer driving season.
Written by: Rochelle Nguyen