The American Petroleum Institute (API) revealed that crude oil inventories in the United States experienced a reduction of 2.408 million barrels this week. This decline follows a decrease of 1.246 million barrels reported in the previous week.
Analysts had anticipated a smaller draw of 1.467 million barrels in U.S. crude oil inventories. API data indicates that the total accumulation of crude oil throughout this year has reached nearly 36 million barrels, yet there has been a net reduction in crude inventories exceeding 8 million barrels since April.
Furthermore, the Department of Energy (DoE) reported a sale of an additional 1.4 million barrels of crude from the Strategic Petroleum Reserve (SPR) in the week ending June 23. This marks the 13th consecutive weekly decline, driving the stockpile to a 40-year low of 348.6 million barrels.
On Tuesday, in anticipation of the data release, the prices of WTI and Brent experienced an increase, although they remain relatively stable compared to a month ago. At 4:09 pm ET, WTI was trading at $67.66 per barrel, down $1.71 (-2.47%) on the day, indicating a $5 per barrel decrease for the week. Similarly, the Brent crude oil benchmark was trading at $72.26 per barrel, down $1.92 (-2.59%).
At 4:39 p.m. EST, WTI exhibited a decline of 2.29% at $67.78 per barrel, while Brent crude experienced a decrease of 1.622.40% at $72.40 shortly after the data release.
Gasoline inventories witnessed a reduction of 2.85 million barrels, reversing the 2.935 million barrel build observed in the previous week. Conversely, distillate inventories observed an increase of 777,000 barrels, surpassing the 301,000 barrel loss recorded in the preceding week.
According to the Energy Information Administration (EIA) data, crude oil production in the United States receded to 12.2 million barrels per day (bpd) for the week ending June 16, aligning with the lowest level recorded this year.
Cushing, Oklahoma, witnessed an inventory increase of 1.45 million barrels, following a rise of 50,000 barrels in the previous week.
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