Wednesday, August 31, 2016

Crude Tumbles After Big Crude, Distillates Build

Front (Oct.) futures $44.98, down $1.37. Here's the last two week's price action:

From ZeroHedge:
Having extended yesterday's losses on the back of API's unexpectedly large distillates inventory build, DOE data confirmed an even bigger crude inventory build (+2.276mm vs ~1.3mm build exp.), which contrary to seasonal patterns was the second build in a row, and 5 builds in the past 6 weeks. Gasoline drew down less than API reported and Distillates built considerably more than expected (+1.5mm vs +275k exp). While production slipped lower by 0.7%, crude prices tumbled on the inventory news, back down to $45.50.
  • Crude +942k (+1.5mm exp)
  • Cushing -620k
  • Gasoline -1.6mm (-1.25mm exp)
  • Distillates +3mm (+275k exp)
  • Crude +2.276mm (+1.3mm exp)
  • Cushing -1.039mm
  • Gasoline -691k (-1.25mm exp)
  • Distillates +1.496mm (+275k exp)
The crude breakdown by region:
  • PADD1 20.259mbbl +0.143
  • PADD2 151.032mbbl -1.403
  • PADD3 275.55mbbl +2.911
  • PADD4 26.974mbbl +0.243
  • PADD5 52.055mbbl +0.381
And gasoline:
  • PADD1 67.178mbbl -1.936
  • PADD2 49.859mbbl +1.497
  • PADD3 78.513mbbl +0.555
  • PADD4 6.578mbbl -0.395
  • PADD5 29.876mbbl -0.411
Also notably, on a seasonal basis, Gulf Coast and East Coast crude stocks just hit reacord levels....