Following last night's larger-than-expected API-reported biggest drawdown in 13 months, DOE reported a mere 2.2mm draw (well below API's 6.7mm draw and expectations of a 2.5mm draw). Perhaps even bigger was the very small 122k draw in gasoline stocks compared to API's 3.6mm draw and WTI is tumbling in reaction. However, crude production plunged by 2.25% last week – the biggest drop since Sept 2013.
API
- Crude -6.736mm (-2.5mm exp)
- Cushing +80k
- Gasoline -3.603mm
- Distillates -2.305mm
DOE
- Crude -2.223mm (-2.5mm exp)
- Cushing -82k
- Gasoline -122k
- Distillates -1.57mm
The breakdown by region, in which it is notable that PADD 3 crude imports rose to 3.86m b/d last wk, highest since Dec. 11 as total U.S. imports of crude 8363k b/d vs 7555k.
- PADD 1 837k b/d vs 764k
- PADD 2 2037k b/d vs 2138k
- PADD 3 3858k b/d vs 3072k
- PADD 4 305k b/d vs 299k
- PADD 5 1324k b/d vs 1282k
Canad imports dropped as imports from most other regions jumped.
- Canada imports 2618k b/d vs 3037k
- Saudi Arabia 990k b/d vs 738k
- Venezuela 670k b/d vs 702k
- Mexico 803k b/d vs 613k
- Colombia 738k b/d vs 578k
- Ecuador 158k b/d vs 211k
- Nigeria 367k b/d vs 142k
- Kuwait 293k b/d vs 151k
- Iraq 646k b/d vs 435k
- Angola 225k b/d vs 72k
This is the 7th weekly draw in a row but notably below API… Additionally, Gulf coast gasoline inventory up 1.8 million, east coast down 600k
Production crashed 2.25% – the biggest drop since Sept 2013…
Driven by a seemingly seasonal 31.5% plunge in Alaska production (0.5% drop in Lower 48)
And the reaction in crude is ugly…
Charts: Bloomberg
via http://ift.tt/29qy0QI Tyler Durden