EIA: US crude stockpile rise on import surge as gasoline draws sharply exceed expectations

US crude inventories posted a modest build while gasoline stocks recorded a sharper-than-expected draw in the week ended 17 April, according to the Energy Information Administration (EIA).

Crude stocks rose significantly by 1.9 million barrels to 465.7 million barrels, against expectations for a smaller build. The increase came despite a marginal dip in domestic crude production, which eased by 11,000 bpd week-on-week to 13.6 million bpd, indicating supply-side stability rather than expansion.

The inventory build was largely driven by a swing in trade flows. Imports surged by 787,000 bpd to 5.3 million bpd, while exports declined by 427,000 bpd, pushing net imports up by around 1.2 million bpd over the week and contributing to the overall stock accumulation.

In contrast, gasoline fundamentals tightened more sharply. US motor gasoline inventories fell by 4.6 million barrels to 228.4 million barrels, significantly outpacing market expectations for a 1.5 million-barrel draw, pointing to stronger-than-anticipated demand or firmer domestic consumption trends.

Written by: Farid Muzaffar