After nine weeks of inventory builds in a row, expectations were for a modest 900k barrel draw in total inventory this week. Expectations were crushed as API reported a much-larger 1.6 million barrel build – the 10th week in a row. After three weeks of very significant builds, Cushing – having seen its storage capacity increased to 73mm (from 71.4mm) barrels – saw a smaller-than-expectd 433k build (+1mm build exp.). WTI prices had drifted higher into the API report (after an extremely volatile day) but slipped lower after the print, as anxiety builds ahead of OPEC.
Total Crude build extends to 10th week…
Crude reacted immediately…
The question for the OPEC meeting is just how much crude and its options will be manipulated?
Charts: Bloomberg
