API reports a small drop in US crude stocks – Trading Economics

Crude oil inventories in the US fell by 573,000 bbls in the week that ended 25 October, according to the American Petroleum Institute (API) estimates cited by Trading Economics.

PHOTO: An oil pumpjack with the US flag in the background. Getty Images

The latest data marked the “eighth weekly draws in the last twelve weeks,” Trading Economics noted citing numbers from the API.

The weekly inventory drop was against market expectations of a 2.3 million-bbl gain during the week.

A drop in US crude stocks indicates growth in oil demand, which can put upward pressure on Brent’s price.

“The American Petroleum Institute’s latest weekly US oil stocks data for the week ended October 25 was mostly neutral,” VANDA Insights’ founder and analyst Vandana Hari remarked.

Last week, the US-headquartered energy body reported a rise of 1.64 million bbls in US crude oil inventories in its Weekly Statistical Bulletin that tracks crude stock builds in the US.

The broadly followed US government data on crude oil stockpiles from the US Energy Information Administration (EIA) is due later today.

By Aparupa Mazumder

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