Total crude oil and petroleum products stocks jumped +11.43 mmb to 1085.10 mmb in the week ended July 22. Crude stockpile increased for the first time in 8 weeks, by +2.30 mmb, to 354.03 mmb as driven by a +5.50 mmb increase in Gulf Coast. Cushing stocks also added +0.43 mmb to 37.10 mmb. Utilization rate dropped -2% to 88.3%.

Gasoline inventory increased for a second straight week, gaining +1.02 mmb to 213.48 mmb as demand dropped -0.32% to 9.00M bpd. The increase was moderated by slides in production (-0.56%) and imports (-24.86%). Distillate inventory rose for a 3rd consecutive week, by +3.39 mmb to 151.85 mmb although demand gained +1.65% to 3.46M bpd. Production slid -0.42% while imports jumped +75.00% during the week.

WTI crude oil price slumped to as low as 97.28 after the report as stock-builds exceeded expectations. Disappointing US data also exacerbated the decline. Durable goods orders surprisingly contracted -2.1% in Jun while May's reading was revised higher to +2.1%. orders excluding transportation climbed +0.5% in June from +0.7% a month ago.

Weekly change in inventory as of 22/07/10 ActualChangeConsensusPrevious
Crude oil 354.03 mmb+2.30 mmb-2.00 mmb-3.73 mmb
Gasoline 213.48 mmb+1.02 mmb+0.40 mmb+0.76 mmb
Distillate 151.85 mmb+3.39 mmb+1.63 mmb+3.43 mmb

Comparison between API and EIA reports:

API (Ju1 22) EIA (Ju1 22)
ActualInventoryPreviousForecast (using API's inventory level)Inventory
Crude oil+3.96 mmb358 mmb-5.18 mmb

+6.47 mmb

358 mmb
Gasoline-0.64 mmb210 mmb+1.96 mmb

-2.79 mmb

210 mmb
Distillate+2.90 mmb149 mmb+1.10 mmb+0.86 mmb149 mmb

API collects stockpile information on a voluntary basis from operators of refineries. Data from the API and DOE have moved in the same direction 71% of the time over the past 52 weeks

Source: Bloomberg, API, EIA