Paradox, oil reserves are falling, gasoline reserves are growing-EIA
2022.12.07 11:38
[ad_1]
Paradox, oil reserves are falling, gasoline reserves are growing-EIA
Budrigannews.com – The Energy Information Administration reported on Wednesday that oil refiners’ utilization reached its highest level since 2019, resulting in stock losses in the most recent week and significant increases in gasoline and distillate inventories.
In the week ending on December 2, crude inventories decreased by 5.2 million barrels to 413.9 million barrels, exceeding analysts’ expectations of a 3.3 million barrel decrease, according to a Reuters poll.
The EIA data showed that distillate stocks, which include diesel and, increased by 6.2 million barrels in the week to 118.8 million barrels, exceeding expectations for a 2.2 million-barrel increase. Despite the fact that the colder winter months typically see a higher demand for the product, the large build happened.
Bob Yawger, director of energy futures at Mizuho in New York, stated, “The distillates situation is the headline here.” You produce a lot of distillates, and demand has decreased once more this week. This is the first December report, and demand continues to move south rather than north.”
The EIA reported that U.S. gasoline stocks increased by 5.3 million barrels during the week to 219.1 million barrels, exceeding analysts’ expectations in a Reuters poll of a 2.7 million-barrel increase.
The week’s refinery utilization rates reached 95.5%, the highest level since August 2019, according to EIA data.
Meanwhile, crude production in the United States reached 12.2 million barrels per day, a record high.
According to the EIA, crude stocks at the delivery hub in Cushing, Oklahoma, decreased by 373,000 barrels over the past week.
According to the EIA, refinery crude runs decreased by 53,000 barrels per day over the past week.
Net U.S. rough imports rose by 1.49 million barrels each day, EIA said.
