BREAKING: OIL gains after EIA report shows large inventory draw

US Energy Information Administration (EIA) released an official weekly report on US oil inventories today at 3:30 pm BST. Private API report released yesterday pointed to a slightly smaller than expected draw in headline crude inventories as well as an unexpected build in gasoline stockpiles.

Actual data from EIA showed a much deeper draw in headline crude inventories than expected - a 6.13 million barrel drop. Gasoline inventories were 1.49 mb higher than a week ago while distillate inventories increased 0.95 mb. Oil prices moved higher following the release but scale of the move was not major.

EIA report on US oil inventories

• Oil inventories: -6.13 mb vs -2.9 mb expected (API: -2.42 mb)
• Gasoline inventories: +1.49 mb vs -1.0 mb expected (API: +1.90 mb)
• Distillate inventories: +0.95 mb vs +0.3 mb expected (API: -0.15 mb)

Brent (OIL) trades around 0.4% higher compared to levels from before the release of the EIA report. OIL is trying to rebound from the $82.25 area. Source: xStation5