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US Gasoline and Distillate Inventories Could Benefit Crude Prices

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API gasoline and distillate inventories 

The API (American Petroleum Institute) reported that US gasoline inventories fell by 1.9 MMbbls (million barrels) for the week ending March 25, 2016—compared to the previous week. Likewise, US distillate inventories fell by 0.10 MMbbls for the same period. The previous part of the series covers US crude oil inventories.

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EIA’s gasoline and distillate inventories and estimates  

On March 30, 2016, the EIA (U.S. Energy Information Administration) will release its weekly crude oil inventory report. It reported that gasoline stocks fell by 4.6 MMbbls to 245.1 MMbbls for the week ending March 18, 2016—compared to the previous week. The distillate fuel inventory rose by 0.9 MMbbls to 162.3 for the same period.

Industry surveys estimate that gasoline inventories could have fallen by 2.2 MMbbls for the week ending March 25, 2016. The consensus of falling gasoline and distillate stocks could benefit crude oil prices.

Volatility in crude oil prices impacts oil producers like Ultra Petroleum (UPL), Swift Energy (SFY), Hess (HES), Linn Energy (LINN), and Carrizo Oil & Gas (CRZO). It also impacts ETFs like the ProShares Ultra Bloomberg Crude Oil ETF (UCO), the PowerShares DWA Energy Momentum (PXI), the United States Brent Oil (BNO), and the United States 12 Month Oil (USL).

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