The American Petroleum Institute (API) reports that crude oil inventories in the US decreased this week by 5.215 million barrels for the week ending January 5, defying analysts’ predictions of a draw of 1.2 million barrels. The previous week saw a 7.418 million barrel draw in crude inventories, according to the American Petroleum Institute API.
The Strategic Petroleum Reserve (SPR) saw a 0.6 million barrel increase in crude, according to a Tuesday report from the Department of Energy (DoE). With purchases for the Strategic Petroleum Reserve (SPR) amounting to roughly 8 million barrels since the Biden Administration started its buyback programme, inventories currently stand at 355 million barrels.
Prior to the release of API data, oil prices were rising. Brent crude oil was up 1.71% at $77.42 at 3:46 PM ET, down slightly over $1 per barrel from where it was at this same time the previous week.
At $72.07, the United States benchmark the West Texas Intermediate ( was up 1.84% for the day, or about $1 less per barrel than it was at this time the previous week.
Following a build of 6.913 million barrels the week before, petrol (oil) inventories saw another significant build this week, increasing by 4.896 million barrels. According to EIA data as of last week, petrol inventories are currently marginally higher than the five-year average for this time of year.
Additionally, distillate inventories increased this week by 6.873 million barrels, following a previous week increase of 6.686 million barrels. Distillates are about 6% less than they were five years ago.
After increasing by 765,000 barrels the week before, Cushing inventories decreased by 625,000 barrels.