U.S. Crude Stockpiles Shrink as Market Prices Slip

The government report follows a more aggressive estimate from the American Petroleum Institute, which suggested a decline of 6.072 million barrels a day earlier. Despite the tightening of crude supplies, energy markets reacted with downward pressure on Wednesday morning. By 10:15 a.m. in New York, Brent futures had shed $0.89 to trade at $72.06, while WTI dropped $0.53 to reach $68.97 per barrel.

Contrasting the crude draw, fuel inventories saw notable growth. Motor gasoline stockpiles rose by 2.3 million barrels as daily production climbed to 10.0 million barrels. Middle distillates also expanded by 2.5 million barrels, though production in that sector dipped to 5.2 million barrels daily, leaving those reserves 8% below the five-year average. Broad demand signals remain mixed; total products supplied averaged 20.6 million barrels per day over the last month, marking a 1.7% increase compared to the same period last year.