This was offset by considerably bigger than expected draws in Gasoline and Distillates and Cushing inventories rose less than expected. Crude production also fell once again, to its lowest since Sept 2014.
The initial knee-jerk was a mini-flash-crash in crude prices, but that was rapidly bid back to unch.
- Crude -1.1m (-3.5mm exp, last week -3.4mm)
- Cushing +508k (+1.1m exp)
- Gasoline -1.9mm (-1m exp)
- Distillates -2m (-1m exp)
- Crude +1.31m (-3.5mm exp, last week -3.4mm)
- Cushing +460k (+1.1m exp)
- Gasoline -2.5mm (-1m exp)
- Distillates -3.17m (-1m exp)
Some other statistics:
- Total production: 8.8mm
- Crude imports: 7.8mm
- Total crude supply: 16.1mm
Production dropped for the 17th week in a row to its lowest since Sept 2014.
Total stocks rose 1.3MM to 541MM, up 59 million Y/Y.
Some other interesting observations: despite the Canadian wildfires, it appears that the DOE goal seeked total imports at 7.8mm barrels, virtually unchanged from last week, suggesting there has been no disruption.
Also notable is that refinery throughput rose by 190,000 b/d to a new record high of 16.371, up 1% from a year ago this time.
Finally, the reaction was an immediate flash crash in crude, but dip buyers could not resist.
But back down we went.