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Crude Supplies Unexpectedly Rise By 200,000 Barrels

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Crude oil inventories unexpectedly rose last week, according to data released Wednesday by the Energy Information Administration. However, the build was not as sharp as the one shown by industry data yesterday.

U.S. commercial crude oil inventories increased by 200,000 barrels from the previous week. Experts had forecast a decline in crude oil supplies of 2.7 million barrels. At 343.8 million barrels, U.S. crude oil inventories are above the upper boundary of the average range for this time of year.

Total motor gasoline inventories decreased by 1.7 million barrels last week. Stockpiles had been expected to fall by 1.5 million barrels. Distillate fuel inventories increased by 800,000 barrels and propane/propylene inventories increased by 900,000 barrels.

Over the last four weeks, motor gasoline demand is down by 0.% from the same period last year. Distillate fuel demand is down by 7.9% and jet fuel demand is 11.8% lower.

Late Tuesday afternoon, the American Petroleum Institute data showed crude supplies rose by 4.3 million barrels in the week ended August 21. Gasoline stocks slipped 1.8 million barrels. The EIA report is watched more closely because participation in that data is mandatory.

On the Comex, light sweet crude oil fell to $70.94 per barrel, down $1.11 for the session. Prices hit as low as $70.67 shortly after the EIA data was made public.

(Market News Provided by RTTNews)

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