U.S. Crude Inventories Defy Expectations With Unexpected Draw

Commercial crude oil stocks fell to 424.1 million barrels, leaving reserves roughly 1% above the five-year average. Meanwhile, the Strategic Petroleum Reserve saw a reduction of 800,000 barrels, bringing its total to 283 million barrels. Activity at Cushing, Oklahoma—the primary Nymex delivery hub—moved in the opposite direction, with inventories climbing by 444,000 barrels to 24.7 million barrels.

Refineries processed more oil than anticipated, operating at 92.7% capacity compared to 92.5% the previous week. This increased throughput contrasts with analyst projections that suggested a slight decline. On the product front, gasoline inventories rose by 382,000 barrels to 204.7 million, defying predictions of a 1.1 million-barrel decline, while distillate stocks remained largely flat with a marginal 42,000-barrel slip.