EIA: US crude inventory fell more than expected on higher refinery run rates

US commercial crude oil inventories resumed a downtrend last week, falling by 3.2 million barrels to 419 million barrels, following a surprise build in the prior week, according to data released by the US Energy Information Administration (EIA).

The drop in inventories was driven by a sharp decline in net crude imports, which fell by 740,000 barrels per day. On a four-week basis, imports averaged 6.3 million barrels per day—down 7.1% from the same period a year ago.

Refinery activity remained robust, reflecting healthy margins and steady seasonal demand. Crude throughput rose to 16.9 million barrels per day, up by 87,000 barrels from the previous week. Utilisation rates edged higher to 95.5%, compared to 94.9% previously.

In the downstream segment, total motor gasoline inventories fell by 1.7 million barrels to 231.1 million barrels. Despite the decline, gasoline stocks remain slightly above the five-year seasonal average, suggesting stable supply conditions heading into the peak summer travel season.

The latest data underscores a well-balanced US oil market, with strong refinery pull and cautious import volumes working in tandem to keep inventories tight amid resilient demand.

Written: Farid Muzaffar