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POST DOE WRAP: NYMEX WTI rises despite inventory build
HOUSTON, November 16, 2016 (PCW) -- NYMEX crude and products futures prices were higher early Wednesday despite government figures that showed a build in crude stocks.
The US remains long in crude, gasoline and diesel. Refinery crude inputs were up, reflecting the end of the turnaround season. Crude imports remain high. Domestic demand rose and export volumes of products were still bullish.
As of 9:54 am CST, December NYMEX WTI rose $0.50/bbl to $46.31/bbl; December gasoline was up 0.55 cpg to 134.05 cpg and December diesel was off 0.95 cpg to 145.34/gal
Crude inventories up 5.3m barrels
The US Energy Information Administration statistics for the week ending November 11 showed a 5.3 million barrel increase in crude inventories to 490.3 million barrels (“near the upper limit of the average range,” per the EIA). Domestic crude oil production was put at 8.681 million b/d, down 11,000 b/d for the week, but 501,000 b/d lower versus the same period last year.
Imports of crude were up 981,000 b/d to 8.4 million b/d on the week. Over the past four weeks, crude imports averaged 8.0 million b/d, an increase of 12.6% compared to last year at this time.
Gasoline imports rise to 821,000 b/d
Gasoline imports were put at 821,000 b/d, up from 500,000 b/d the previous week; for the same period last year the figure was 389,000 b/d. Distillate imports were 169,000 b/d, up from 107,000 b/d on the week; the figure for last year was 158,000 b/d (typically the US imports products to the US East Coast and exports from the US Gulf Coast).
Total product demand over the past four weeks was put at 20.0 million b/d, up 1.1% versus the same period last year.
Total gasoline inventories (including blendstocks) were up 0.7 million barrels at 221.7 million barrels (still “well above the upper limit of the average range,” per the EIA), 7.5 million barrels over last year. Demand was 9.2 million b/d over the past four weeks, down 0.3% from the same period last year.
Distillate stocks rose 0.3 million barrels to 148.9 million barrels (“well above the upper limit of the average range,” per the EIA), 8.6 million barrels over last year. Distillate demand over the past four weeks was 4.0 million b/d, down 1.4% compared to the same period last year.
Propane stocks rise 1.8m barrels
Propane/propylene inventories were 99.6 million barrels, up 1.8 million barrels on the week, and down 3.6 million barrels versus last year (“near the upper limit of the average range”).
Total US refinery inputs averaged 16.1 million b/d, up 309,000 b/d compared to the previous week. Inputs of crude oil nationwide to refineries on a percentage basis were up 2.1% on the week, put at 89.2 % of capacity. In the Gulf Coast (PADD III), inputs were up 3.7% to 91.1%.
Also, net exports of all products were put at 2.274 million b/d, down 416,000 b/d for the week, but still a bullish number. The US needs to export products to keep inventories manageable.
While domestic gasoline demand was put at 9.2 million b/d, total gasoline production came in at 9.799 million b/d. Distillate demand was 4.0 million b/d, but production was 4.984 million b/d. -- Robert Sharp