US gasoline and distillate inventories fell in the week ending 18 September, reversing the previous week’s builds, while commercial crude stocks increased, OilPrice.com reported, citing American Petroleum Institute estimates. The product draws came after both fuel categories had entered the reporting period with inventories below their respective five-year seasonal averages.
Gasoline stocks declined by 2.16 million barrels, compared with an increase of 1.46 million barrels a week earlier. Distillate holdings fell by 2.164 million barrels after a previous gain of 1.61 million barrels. According to the Energy Information Administration data cited by OilPrice.com, gasoline inventories were 5% below the five-year average before the latest reporting period, while distillate stocks were 13% below that benchmark.
The API estimated a 1.786 million-barrel increase in US crude inventories, a smaller build than the preceding week’s 7.14 million barrels. Commercial crude holdings, excluding the Strategic Petroleum Reserve, had declined by 39 million barrels over 23 weeks. Nevertheless, crude inventories remained nearly 12 million barrels higher for the year, according to the API figures reported by the outlet.
At Cushing, the delivery point for WTI crude futures, stocks increased by 2.082 million barrels during the reporting week. That reversed a draw of 246,000 barrels in the previous week. Separately, the Strategic Petroleum Reserve released another 400,000 barrels, leaving its holdings at 284.6 million barrels, OilPrice.com said. The outlet put the reserve’s generally accepted operational minimum at 250 million to 300 million barrels, below which pumping and processing could become less efficient.
Crude prices were also lower in the Wednesday trading snapshot included in the report. At 3:55 pm Eastern Time, Brent stood at $97.85 a barrel, down 2.48% on the day and more than $11 below its level a week earlier. WTI traded at $89.14 a barrel, a daily decline of $3.23, or 3.50%, and roughly $18 below the previous week’s level.