While crude stockpiles are trending upward, the Strategic Petroleum Reserve (SPR) continues to shrink. An additional 400,000 barrels were released from the SPR during the reporting period, leaving the reserve at 284.6 million barrels. This volume sits uncomfortably close to the 250–300 million barrel operational floor, a threshold experts suggest could hinder efficient processing and extraction capabilities.
US Oil Inventories Rise as Fuel Reserves Tighten
Crude oil inventories in the United States climbed by 1.786 million barrels for the week ending September 18, according to American Petroleum Institute estimates. This build follows a significant surge of 7.14 million barrels the previous week, even as gasoline and distillate supplies continue to drain from commercial storage.
Market reaction remained bearish throughout Wednesday trading. Brent crude slipped to $97.85 per barrel, reflecting a weekly loss exceeding $11, while WTI dropped to $89.14. This downward pressure persists despite a tightening of refined products; gasoline inventories fell by 2.16 million barrels and distillates shed 2.164 million barrels. Meanwhile, the Cushing delivery hub saw a recovery, with inventories rising by 2.082 million barrels after previous losses. Domestic production remains steady at 13.944 million barrels per day, marking a year-over-year increase of 462,000 barrels per day.
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