The Platts pre-report survey of analysts’ EIA/API estimates suggest a drop of 2.3 million barrels in U.S. crude oil stocks
Platts Survey of Analysts
- Crude oil stocks down 2.3 million barrels
- Gasoline stocks up 1.1 million barrels
- Distillates stocks up 1.8 barrels
- Refinery utilization, or run rate, down 0.8 percentage point to 90.7%
New York - July 26, 2010
Weekly oil data from the U.S. Energy Information Administration (EIA) and the American Petroleum Institute (API) is expected to show a draw of 2.3 million barrels in U.S. commercial crude stocks for the reporting week ending July 23, analysts polled by Platts said Monday.
API is scheduled to release its weekly data at 4:30 p.m. EDT (2030 GMT) Tuesday. EIA's weekly oil statistics will be released at 10:30 a.m. EDT (1430 GMT) Wednesday.
“Crude imports are unlikely to sustain the 9.977-million-barrel-per-day (b/d) level seen the week ending July 16, and given current U.S. petroleum production and inputs into refineries, this week will likely see a stock-draw” said Linda Rafield, Platts senior oil analyst and editor of the weekly Futures and Derivatives Review, a supplement to Oilgram Price Report.
Analysts expect refinery utilization, or run rates, to decline by 0.8 percentage points to 90.7%, according to EIA data from the week that ended July 16. “Refiners will likely throttle back on output of product given the recent slowdown in demand growth,” Rafield added.
Analysts are expecting a build in gasoline stocks of 1.1 million barrels. Implied demand* of 9.435 million b/d from the week that ended July 16 is not apt to repeat based on the general state of the U.S. economy and what appears to be a decline in discretionary spending by consumers. Demand for gasoline tends to slide in July, following the Fourth of July before swinging back to the upside during August. “Gasoline inventories should see a build with production still running at seasonal levels and implied demand expected to slip,” said Rafield.
Analysts project stocks of middle distillates to build 1.8 million barrels, a still seasonal occurrence.
*Implied demand is the amount of product that moves through the U.S. distribution system, not actual end consumption.
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