US crude stocks fell by 9.8 million barrels last week, yet WTI and Brent prices slipped as record domestic output and easing Iran tensions overshadowed the inventory decline.
API data for the week ending November 6 shows a 9.8 million barrel crude draw, larger than the prior week's 5.267 million barrel drop, which is supportive for WTI. However, WTI still traded down 0.55% at $86.37, down roughly $11 since last week, as Iran de-escalation hopes and record US production of 14.003 million bpd outweigh the inventory signal.
The sharp 9.8 million barrel US crude draw is technically supportive for Brent, but Brent traded down 0.66% at $91.96 and is down more than $12 from a week ago on Iran de-escalation hopes. The inventory signal is being overwhelmed by geopolitical risk premium erosion, so the net near-term price effect is unclear.
The American Petroleum Institute reported a 9.8 million barrel draw in US crude inventories for the week ending November 6. Despite the supply tightening, oil prices retreated as record US production of 14.003 million barrels per day and geopolitical de-escalation hopes weighed on the market.
Yes, US crude oil inventories fell by 9.8 million barrels in the week ending November 6, a larger drop than the 5.267 million barrel decline the week before.
Prices still declined, with WTI down 0.55% to $86.37, as the broader market fell more than $11 per barrel over the past week amid Iran peace signals and record US production.
In principle yes, since a 9.8 million barrel weekly crude draw tightens supply, but Brent still traded down 0.66% at $91.96 and is down more than $12 per barrel from a week earlier.
2.7 million barrels left the SPR in the week ending November 6, bringing it down to 279.5 million barrels, which is 434 million barrels below maximum capacity and near the 250-300 million operational minimum.