Ok, so who even knows what these numbers mean anymore and frankly, they’re actually meaning”less” because when it comes to oil this is all about Russia, the Saudis, and Iran.
Be that as it may, the market loves (and we mean loves) to focus on the “factlets” (to quote Bloomberg’s Richard Breslow), and so we have to report the obligatory API and EIA numbers. This was API from last night via Bloomberg:
- Crude inventories -12.1m bbl, gasoline -2.34m, distillate +944k, Cushing crude -703k, according to people familiar, reports on Twitter.
And this was moments ago from the EIA:
- WTI extends gains after EIA report shows U.S. crude inventories decreased by 14.5m bbl last wk, largest drop since Jan. 1999.
Gotta love the “reports on Twitter” bit. That’s where our crude inventory data comes from now. Twitter. Anyway, this was a huge (oh wait, we have to use Trump parlance.. “yuuuge”) draw especially against consensus of a build. And here is your reaction in oil markets:
Summing things up is Citi (and this is a direct quote):
“Whoa! DoE draws 14.51mn and WTI soars.”
Yeah, “whoa.” As if anyone cares about cash flow negative US production.