Publication of report from the US Department of Energy caused some moves on the oil market. Crude inventories fell sharply while gasoline stockpiles increased more than expected.
• Oil inventories: - 12.58mb vs -2.758 mb expected (API: -7.85 mb)
• Gasoline inventories: +2.769mb vs +1.625 mb (API: +2.85 mb)
• Distillate inventories: +3.547mb vs +1.457 mb (API: +4.01 mb)
• Oil inventories at Cushing, Oklahoma: - 0.415 million barrels vs -0.887 million barrels previously
We rarely see such strong movements in oil stocks, but it is most likely caused by two factors. Firstly, strategic reserves are released to a small extent or have already been completely retained. Secondly, significant oil processing, as evidenced by a strong increase in stocks of petroleum products.
At the same time, quite a lot is happening in the oil market. OPEC+ said it has no plans to cut production any more for now, while the G7 countries want to quickly decide on a maximum price level for Russian oil exports. If such a scheme were adopted by the EU, it would make it possible to continue buying oil from Russia, but at a lower price, which is currently set in the range of USD 60-65 per barrel. Earlier Fox reported that according to its sources Russia oil price cap will be between $60-63 per barrel.
WTI Crude Oil (OIL.WTI) price rose after the release of today's EIA report and is testing major resistance level at $81.20. Source:xStation5
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