WTI Dives Back Below $67 After Surprise Crude Build

WTI continued in its rangebound mode (slightly weaker into tonight’s print) but slumped back below $67 tonight after API reported a surprise crude build.

 

API

  • Crude +3.66mm (-2.5mm exp)

  • Cushing +1.64mm  (+500k exp)

  • Gasoline _1/56mm

  • Distillates +1.94mm

The last few weeks have seen crude inventories flip-flopping between draws and builds with a big surprise gasoline build last week. And API continued the trend with a surprise crude build (and surprise Cushing build)…

 

“Nobody wants to go home long” when forecasts are pointing to a bearish inventory report, said Bob Yawger, director of futures division at Mizuho Securities USA LLC.

WTI ended the day unchanged, fading into the print, but spiked lower as API reported the surprise crude build…

 

Finally, we note that Permian pipeline premia crashed back to cycle wides after a brief bounce…

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