U.S. Reports Surprise 8.6 Million-Barrel Crude Draw
The unexpected decline signals a tighter U.S. crude balance that may shift domestic fuel flows and inform talks on limited relief for previously sanctioned tankers.
Overview
- Thursday's Department of Energy weekly report showed U.S. crude inventories fell by about 8.557 million barrels to roughly 415.577 million barrels, a result that ran counter to analyst forecasts of a small build.
- The report also showed gasoline stocks rose by 3.518 million barrels while distillate supplies fell by 2.527 million barrels, and refinery utilization climbed to 93.5 percent.
- The stronger-than-expected crude draw helped push U.S. benchmark WTI up about 3.0 percent to near $98 while Brent held near $106, reflecting a tighter U.S. supply signal and regional price divergence.
- U.S. officials are discussing narrowly targeted steps to let some previously sanctioned tankers carry strictly defined 'legal' cargoes, and the Department of Energy says any move would be structured to avoid aiding Russia.
- Cushing stocks rose by 1.862 million barrels and the Strategic Petroleum Reserve remained unchanged at 282.983 million barrels, a pattern that could alter pipeline flows and how quickly refiners can access crude supplies.