U.S. business crude oil inventories, excluding these within the Strategic Petroleum Reserve (SPR), decreased by 3.5 million barrels from the week ending January 23 to the week ending January 30, the U.S. Power Info Administration (EIA) highlighted in its newest weekly petroleum standing report.
Based on this report, which was launched on February 4 and included information for the week ending January 30, crude oil shares, not together with the SPR, stood at 420.3 million barrels on January 30, 423.8 million barrels on January 23, and 423.8 million barrels on January 31, 2025. Crude oil within the SPR stood at 415.2 million barrels on January 30, 415.0 million barrels on January 23, and 395.1 million barrels on January 31, 2025, the EIA report revealed.
Complete petroleum shares – together with crude oil, complete motor gasoline, gasoline ethanol, kerosene kind jet gasoline, distillate gasoline oil, residual gasoline oil, propane/propylene, and different oils – stood at 1.690 billion barrels on January 30, the report highlighted. Complete petroleum shares had been down 25.1 million barrels week on week and up 85.1 million barrels yr on yr, the report identified.
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“At 420.3 million barrels, U.S. crude oil inventories are about 4 % under the 5 yr common for this time of yr,” the EIA famous in its newest weekly petroleum standing report.
“Complete motor gasoline inventories elevated by 0.7 million barrels from final week and are about 4 % above the 5 yr common for this time of yr. Completed gasoline inventories decreased, whereas mixing parts inventories elevated final week,” it added.
“Distillate gasoline inventories decreased by 5.6 million barrels final week and are about two % under the 5 yr common for this time of yr. Propane/propylene inventories decreased 6.2 million barrels from final week and are about 37 % above the 5 yr common for this time of yr,” it continued.
U.S. crude oil refinery inputs averaged 16.0 million barrels per day in the course of the week ending January 30, in keeping with the report, which highlighted that this was 180,000 barrels per day lower than the earlier week’s common.
“Refineries operated at 90.5 % of their operable capability final week,” the EIA stated in its report.
“Gasoline manufacturing decreased final week, averaging 9.0 million barrels per day. Distillate gasoline manufacturing decreased by 5,000 barrels per day final week, averaging 4.8 million barrels per day,” it added.
U.S. crude oil imports averaged 6.2 million barrels per day final week, the report famous, stating that this was a rise of 558,000 barrels per day from the earlier week.
“Over the previous 4 weeks, crude oil imports averaged about 6.3 million barrels per day, 3.2 % lower than the identical four-week interval final yr,” the EIA stated in its report.
“Complete motor gasoline imports (together with each completed gasoline and gasoline mixing parts) final week averaged 394,000 barrels per day, and distillate gasoline imports averaged 197,000 barrels per day,” it added.
Complete merchandise equipped during the last four-week interval averaged 20.8 million barrels per day, 0.9 % above the identical interval final yr, the EIA went on to state within the report.
“Over the previous 4 weeks, motor gasoline product equipped averaged 8.3 million barrels per day, barely above the identical interval final yr,” it stated.
“Distillate gasoline product equipped averaged 4.0 million barrels per day over the previous 4 weeks, down by 6.2 % from the identical interval final yr. Jet gasoline product equipped was up 4.5 % in contrast with the identical four-week interval final yr,” it added.
Analyst Take
In a report despatched to Rigzone by the Skandinaviska Enskilda Banken AB (SEB) staff right now, SEB Commodities Analyst Ole R. Hvalbye outlined that the EIA’s newest weekly petroleum standing report “confirmed a transparent attract crude inventories” however added that “the broader image nonetheless factors to a well-supplied market”.
“U.S. crude inventories fell by 3.5 million barrels final week, bringing complete shares all the way down to 420.3 million barrels, which is round 4 % under the five-year seasonal common,” he stated.
“The draw was supported by decrease refinery consumption and strong demand, but it surely comes after a number of weeks of blended stock indicators,” he famous.
Hvalbye went on to state that refinery runs eased barely, “with crude throughput down 180,000 barrels per day to 16.0 million barrels per day and utilization slipping to 90.5 %”.
“Imports moved larger, nevertheless, rising by 558,000 barrels per day to six.2 million barrels per day, despite the fact that the four-week common stays about three % under final yr – i.e., the crude draw appears to be like extra operational than structural,” he added.
“the product facet”, Hvalbye stated within the report that “the image was break up”.
“Gasoline inventories elevated modestly by 0.7 million barrels and now sit about 4 % above the five-year common, confirming that the gasoline market stays comfortably equipped,” he stated.
“Distillates, alternatively, noticed a pointy 5.6 million barrel draw, pulling shares all the way down to roughly two % under seasonal norms,” he famous.
“A part of this displays winter demand and climate results, but it surely additionally follows a interval of elevated distillate inventories, so one robust draw doesn’t change the broader steadiness by itself,” he added.
Hvalbye went on to notice that propane inventories fell by 6.2 million barrels, “but shares stay very excessive, nonetheless round 37 % above the five-year common”.
“In complete, business petroleum inventories fell a hefty 25.3 million barrels final week [excluding the SPR], largely pushed by attracts in crude, distillates, and propane,” he acknowledged.
Demand indicators had been broadly secure, in keeping with Hvalbye.
“Complete merchandise equipped averaged 20.8 million barrels per day over the previous 4 weeks, up 0.9 % YoY. Gasoline demand was barely larger YoY, distillate demand was down 6.2 %, whereas jet gasoline continued to outperform, up 4.5 % YoY,” he famous.
“The crude draw helps clarify why the entrance finish has stayed bid, however elevated gasoline shares and blended product demand underline that the U.S. market remains to be properly equipped general,” Hvalbye stated.
“The stock information doesn’t problem the broader surplus narrative proper right here and now, it merely provides some near-term tightness on the entrance of the curve,” he concluded.
To contact the creator, e mail andreas.exarheas@rigzone.com
