WTI Tumbles After Surprise Crude Inventory Build

Following the ugliest day in a month for WTI (on OPEC production increase survey), bulls hopes rest on tonight's API data confirming the recent trend of inventory draws but that was not to be. Against expectations of a 3.1mm draw, API reported crude inventories built by 1.78mm barrels last week. The kneejerk reaction was clear - down hard.



  • Crude +1.78mm (-3.1mm exp)
  • Cushing +2.562mm (-700k exp)
  • Gasoline -4.827mm (-1mm exp)
  • Distillates -1.225mm

The recent trend in draws (for crude, gasoline, and distillates) was stymied last week with the biggest crude draw in 2 months, and a huge build at Cushing...


Following the Oil ETF's largest monthly withdrawal since 2009, WTI was hovering just above $49 as API printed but tumbled on the surprise build...

“This race to rebalance supply and demand--it’s a marathon and lot of people are entering it thinking it’s just a quick sprint,” Mark Watkins, a regional investment manager at U.S. Bank Wealth Management, which oversees $142 billion in assets, told Bloomberg. “But, this rebalancing is going to take a lot longer than a month, or six months or even a year.”


BSHJ Tue, 08/01/2017 - 16:45 Permalink

Nothing about Apple being UP over $7 , no $8 after-hours?  What happened?  Does the latest I-whatever wipe your butt for you or what?

PodissNM Tue, 08/01/2017 - 16:54 Permalink

And next week crude will jump on a larger than expected "surprise" inventory draw down. The real question is what idiot is still surprised by this endless pump and dump scheme?

Farqued Up Tue, 08/01/2017 - 16:57 Permalink

The same drunk Muzzie affirmative action barrel counter also uses the same Ouija Board to calculate (sic) the unemployment rate. Trust nothing an incompetent Gov that lies at every turn produces (sic) and publishes. 

wakeupsheeps Tue, 08/01/2017 - 18:33 Permalink

It is every week that there is a surprise draw or a surprise buildup of crude or gasoline inventories.  Every single week it's a surprise.  What gives?  Any chance they could just pay attention to what goes out and what comes in?

Les Grossman skunzie Tue, 08/01/2017 - 20:59 Permalink

HAHAHHAA!!   Yep, another bs headline issued by ZH's ABC media.  How about:  "After super bullish move last week, we are giving back some profit on the news."  Or the headline headline could be "watch out for vol ahead of tomorrow's EIA report" ... the globex/current downside move actually may be the buy signal ....with tight stop/support price already established.

In reply to by skunzie

TulsaTime Tue, 08/01/2017 - 21:03 Permalink

Just looking for something to move the price one way and the other to game the price either way. If someone knew how that was going to work out each time, they could make a little change every week, sometimes more than once.  That sounds like as good a game as they have with gold and silver.  Cuz stable prices are just so boring and lack opportunity for for a fun game of roller coaster ride.