dinsdag 25 juli 2017

WTI Jumps Above $48 After API Inventory Report Shows Huge Crude Draw

The recent trend of inventory draws (in crude and products) has supported higher Brent and WTI prices (the latter testing $48 today) despite surging production. API reported more of the same with a much larger than expected draw (-10.2mm vs -3mm exp), sending WTI above $48. All was not perfect in the report however as gasoline saw an unexpected build. API;
*Crude -10.2mm (-3mm exp) - biggest draw since Sept 2016
*Cushing -2.568mm (-1mm exp)
*Gasoline +1.9mm (-1.8mm exp) 
*Distillates -111k
Gasoline surprised with an unexpected build in inventories but the massive crude draw (largest since Sept 2016) and a reduction in stocks at Cushing helped send crude proices higher...

WTI traded around $48 into the API print, having ripped higher the last two days after Saudi 'whatever it takes' comments, and blew through $48 on the API print...

“They have chased the bears back into the woods. Sentiment in the market is mildly bullish,” James Williams, an economist at London, Arkansas-based energy-research firm WTRG Economics....