FAST FIVE: WTI Extends Gains After API Reports Significant Draws
WTI Extends Gains After API Reports Significant Draws Oil prices have soared in the last few days (to 3-week highs) as the dollar weakened and OPEC+ hinted at greater and greater production cuts.
“The potential cut increasing from 1 million barrels a day to 2 million barrels implies a more aggressive approach,” said Stacey Morris, head of energy research at Alerian VettaFi.
API Crude -1.77mm Cushing +925k Gasoline -3.47mm Distillates -4.05mm – biggest draw since Mar 2022 Crude stocks drew down for the second straight week, and products saw major draws (likely stockpiling ahead of Hurricane Ian).
Source: Bloomberg And finally bear in mind that Biden does not have much room to play in the SPR release into the Midterms.
Source: Bloomberg That is a record low 2-day supply left for real 'emergencies'.