Weekly DOE Oil Charts - July 7, 2017

Conclusion: Bullish. Strong start into July with another sharp decline in stocks. Ignoring the weekly fluctuation in demand data, average demand appears to remain strong. Production appears to growing strongly now on a y-o-y basis (mainly a base effect due to last years sharp decline)

  • Total petroleum stocks drew 7mb, 10mb more than normal and 5.3mb more than expected. Large chung of that was in SPR
  • Crude (incl. SPR) drew a whopping 10.8mb, 7.1mb more than normal. Gasoline, jet and residual fuel showed meaningful decline, only distillates and “other” bucked the trend
  • The draws occurred despite the massive apparent drop in demand of -2.3mb/d. The DOEs implied demand data continues to be a mess and weekly changes should be just ignored. 4wk average suggest that demand holds up well near last years levels
  • Net imports remained roughly 1mb/d below last years levels
  • Refinery utilization rebounded by +0.9% to 94.5%, pushing 4wk average again slightly above last years levels. Crude and gross inputs remain >0.5mb/d above last years levels
  • Crude output again sharply higher, now nearly 1mb/d above last years levels. This is mainly an effect from last years decline in output at this time of the year.

 

View the Entire Research Piece as a PDF here.


The views and opinions expressed in this article are those of the author(s) and do not reflect those of Goldmoney, unless expressly stated. The article is for general information purposes only and does not constitute either Goldmoney or the author(s) providing you with legal, financial, tax, investment, or accounting advice. You should not act or rely on any information contained in the article without first seeking independent professional advice. Care has been taken to ensure that the information in the article is reliable; however, Goldmoney does not represent that it is accurate, complete, up-to-date and/or to be taken as an indication of future results and it should not be relied upon as such. Goldmoney will not be held responsible for any claim, loss, damage, or inconvenience caused as a result of any information or opinion contained in this article and any action taken as a result of the opinions and information contained in this article is at your own risk.

 

What To Read Next