The Energy Information Administration report highlights a tightening in crude supply that contrasts sharply with earlier industry estimates. While the EIA noted a drawdown, the American Petroleum Institute had previously suggested a significant build of 7.14 million barrels. Market reaction remained muted; Brent futures slipped to $107.36 per barrel, while WTI dropped to $103.80 during Thursday morning trading.
U.S. Crude Stocks Dip as Market Faces Cooling Fuel Demand
Commercial crude stockpiles in the United States fell by 600,000 barrels for the week ending September 11, settling at 423.4 million barrels. Despite this decline, government figures show inventories remain 1% above the five-year seasonal average, even as broader demand metrics signal a softening in domestic fuel consumption.
Refined product data points to a cooling sector. Gasoline inventories rose by 800,000 barrels, marking a second consecutive weekly increase. Middle distillates saw a larger build of 1.6 million barrels, though these stocks remain 13% below the five-year average. Overall demand, measured by total products supplied, averaged 20.5 million barrels per day over the last four weeks—a 0.6% decline compared to the same period last year. Gasoline and distillate demand both reflect this downward trend, with distillate consumption showing a 3.3% drop year-over-year.
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