EIA: US crude stocks, including SPR, slumped for tenth week to a 40-year low
Total crude inventories, plunged by 17.2 million barrels last week, their lowest level since March 1985 and a drop that has now reached 96.25 million barrels since the start of the Iran war
US crude oil inventories excluding the Strategic Petroleum Reserve fell by 8.3 million barrels in the week to June 12, dropping to 418.2 million barrels and landing well above the 4.6 million barrel draw analysts had expected in a poll, leaving commercial stocks about 6% below the five year average for this time of year. The decline came even as domestic crude production held essentially flat, edging up by just 7,000 bpd on the week, suggesting the drawdown was driven primarily by demand and trade flows rather than any pullback in output.
Total crude inventories, including both commercial stocks and those held in the Strategic Petroleum Reserve, plunged by 17.2 million barrels last week to 758.5 million barrels, their lowest level since March 1985 and a drop that has now reached 96.25 million barrels since the start of the Iran war, as countries around the globe have leaned on US oil and products to fill supply gaps left by the conflict.
Crude oil imports averaged 5.1 million barrels per day last week, a decrease of 754,000 bpd from the previous week, and over the past four weeks imports have averaged about 5.7 million bpd, which is 7.2% below the same period last year. On the export side, U.S. crude oil exports declined by 513,000 barrels to 4.33 million bpd, marking a pullback in outbound flows alongside the drop in imports.
Refinery activity strengthened over the week, with crude runs rising by 230,000 bpd to average 17.2 million bpd, while refinery utilization climbed 1.4 percentage points to 96.7% of operable capacity. The Midwest and West Coast saw utilization rates jump to their highest levels since 2023, underscoring the breadth of the increase in processing activity.
Total motor gasoline inventories decreased by 0.9 million barrels from the previous week to 214.2 million barrels, falling short of the 1 million barrel draw analysts had forecast and leaving gasoline stocks about 6% below the five year average for this time of year.
Written by: Farid Muzaffar