After a volatile day of White House rumors and denials, and OPEC headlines, WTI and RBOB ended the day lower ahead of tonight's API data which showed a slightly smaller than expected crude build (+2.5mm against expectations of +3mm). However RBOB prices tumbled after an unexpected build.
- Crude +2.502mm (+3mm exp)
- Cushing +544k
- Gasoline +1.84mm (-1.5mm exp)
- Distillates -3.73mm
While crude built again (the 8th week in a row), it was the swing back to a build in gasoline that is most notable…
If this holds for DOE data tomorrow it will be another new recod high for crude inventories.
Notably, along with denied reports of a shift in ethanol mandates, and reports of 94% OPEC cut complicance, U.S. shipments of crude by rail averaged ~377k b/d in December vs ~432k b/d in November, lowest since May 2012, EIA’s Petroleum Supply Monthly report shows.
The initial reaction post-API was weakness in RBOB (surprise build) and a jump in WTI but that quickly gave way as the realization was that it was still a build…
via http://ift.tt/2lvKEml Tyler Durden