Weekly Oil Data

Inventories, Exports, Imports, and Refinery Utilization (Two Tables and 13 Charts)

MAIN TAKEAWAY

• There has been another release of 2.4 mb from the US Strategic Petroleum Reserve (SPR) as part of the 26 mb congressionally mandated sales for this year. An additional 14 mb will be released between now and the end of June. As we said in the past, all the remaining releases have already been priced in. 

• Gasoline and distillates inventories have kept declining to critically low levels. Gasoline inventories are at their lowest since 2013 for this time of the year, while distillates inventories are at their lowest levels since October 2022.

• The EIA is still struggling with the large adjustment number. Despite its investigation and recommendations, the number remains high at about 11.3 mb as reported last week.  In general, energy data is deteriorating across the board around the world.

• The US SPR draws will stop by the end of June.  Voluntary oil output cuts by large OPEC+ producers, meanwhile, went into effect this month and they are expected to continue until the end of 2023. It remains to be seen what OPEC+ will decide during its June 4 meeting. Some traders think the status quo is bearish, despite the output cuts announced in early October and the voluntary reductions that were applied this month.

IN DETAIL