The Energy Information Administration (EIA) released its latest report on U.S. commercial crude inventories, revealing an unexpected increase of 5.9 million barrels for the week ending July 7. This starkly contrasts the projected decline of 1 million barrels forecasted by analysts polled by S&P Global Commodity Insights.
Gasoline inventories, on the other hand, remained relatively stable during the same period, while distillate supplies saw a significant rise of 4.8 million barrels. Analysts had anticipated a downward trend with a decrease of 1.1 million barrels for gasoline and a modest increase of 150,000 barrels for distillates.
Furthermore, the EIA reported that crude stocks at the Cushing, Oklahoma Nymex delivery hub experienced a reduction of 1.6 million barrels for the week. This unexpected twist contributed to the ongoing upward trend in oil futures prices. In fact, August West Texas Intermediate crude (CLQ23) recorded a $0.90 (or 1.2%) increase, reaching $75.73 per barrel on the New York Mercantile Exchange. Prior to the release of the supply data, prices had been trading at $75.66.
These surprising figures have brought renewed attention to the state of U.S. crude inventories and continue to influence market dynamics as investors analyze and respond to this unexpected development.
