Weekly crude oil inventories from the Energy Information Administration:

  • Prior was -1925K
  • The API report showed a surprise build of 4600K barrels
  • Gasoline -1068K vs -350K expected
  • Distillate -267K vs -800K expected
  • Refinery utilization -1.1% vs -0.45% exp

The API report led to some oil selling late yesterday but crude has caught a bid alongside the improvement in risk appetite.

That's a hefty rise in supplies and with refineries headed for maintenance, expect it to continue. The oil trade is just a matter of finding an attractive place to sell in the expectation of a fall back below $40/barrel.