The DOE/EIA reported that total crude oil and petroleum products stocks increased +3.40 mmb to 1044.32 mmb in the week ended December 30. Crude stockpile added +2.21 mmb to 329.69 mmb as stocks in climbed in 3 out of 5 PADDs. Cushing stock slipped -0.61 mmb to 29.30 mmb. Utilization rate increased +0.80% to 85.0%.

Gasoline inventory rose +2.48 mmb to 220.19 mmb as demand dropped -4.11% to 8.56M bpd. Production plunged -4.96% to 8.94M bpd while imports gained +39.81% to 0.73M bpd. Distillate inventory soared +3.22 mmb to 143.58 mmb as demand slid for a 7th consecutive week, by -7.26%, to 3.53M bpd. Imports jumped +37.95% to 0.23M bpd while production dipped -1.02% to 4.83M bpd during the week.

Oil prices retreated with the benchmark WTI contract falling to as low as 101.95 as crude oil and fuel inventories increased across the board. Renewed worries over the sovereign debt crisis in the Eurozone also reduced risk appetite.

Weekly change in inventory as of 30/12/11 ActualChangeConsensusPrevious
Crude oil 329.69 mmb+2.21 mmb-1.00 mmb+3.90 mmb
Gasoline 220.19 mmb+2.48 mmb+1.00 mmb-0.69 mmb
Distillate 143.58 mmb+3.22 mmb+1.00 mmb+3.22 mmb

Comparison between API and EIA reports:

       

  API (Dec 30)   EIA (Dec 30) 
 ActualInventoryPrevious Forecast (using API's inventory level)Inventory
Crude oil-5.12 mmb334.48 mmb+9.57 mmb +7.00 mmb334mmb
Gasoline+3.38 mmb219.10 mmb+1.86 mmb +1.38mmb219 mmb
Distillate+5.25 mmb145.40 mmb+0.55mmb +5.05 mmb145 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

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