BREAKING: OIL trims losses after DOE report

US Department of Energy (DOE) issued an official weekly report on US oil inventories today at 3:30 pm BST. Report was expected to show a decline in headline crude oil inventories as well as a drop in gasoline and distillate inventories. However, API report yesterday suggested a deeper-than-expected decline in oil stockpiles, an unexpected drop in gasoline inventories and a smaller-than-expected build in distillate stockpiles.

Actual DOE report showed a bigger-than-expected drop in headline crude oil inventories, but smaller than suggested by API data yesterday. Gasoline and distillate stockpiles declined slightly. Overall, the report was bullish for price and such a reaction can be spotted on the markets, with oil bouncing off the daily lows. 

DOE report on US oil inventories

• Oil inventories: -2.51 mb vs -1.2 mb expected (API: -3.10 mb)
• Gasoline inventories: -0.24 mb vs +0.3 mb expected (API: -1.27 mb)
• Distillate inventories: -0.05 mb vs +0.8 mb expected (API: +0.35 mb)

Brent (OIL) bounced off the 2-month lows following release of slightly bullish DOE report on US oil inventories. Source: xStation5