Total crude oil and petroleum products stocks rose +0.14 mmb to 1125.05 mmb in the week ended August 6. While this marked the 9th consecutive weekly gain, the increase was significantly milder when compared with +6.10 mmb and +9.00 mmb in the previous 2 weeks. Crude oil inventory declined -2.99 mmb to 354.99 mmb. While the Midwest and the West Coast saw -2.33 mmb and -2.27 mmb falls during the week, these were partly offset by builds in the East Coast and the Gulf Coast. Cushing stock dipped for the first time in 5 weeks by -0.11 mmb, to 37.72 mmb. Utilization rate slid to 88.1%, the lowest level since June 11.
Concerning oil products, gasoline stockpile added +0.4173 mmb to 223.38 mmb. The build was in spite of -1.32% drop in production and -22.30% decline in imports. Demand fell for the second week, by -2.54%, to 9.24M bpd. Distillate stockpile rose +3.46 mmb to 173.14 mmb. Demand shrank -1.85% to 3.40M bpd while imports surged +68.45% to 0.32M bpd. Production however dipped -0.18% to 4.34M bpd.
The front-month WTI contract extends the slide after the report as bigger-than-expected fuel inventories indicate weakness in the oil market. Currently trading at 78.10, oil price was weighed down by the unexpected widening in US' trade deficits in June and the decline accelerated after the inventory report.
