Today's release of the weekly energy inventories from the Department of Energy showed that both crude oil and gasoline stockpiles rose more than expected. In the case of crude oil, inventories rose by 5.4 million barrels even as traders were expecting a build of less than half that (2.5 million barrels). In fact, this week's build was the largest weekly increase since April. As a result of the build, stockpiles remain comfortably above their average levels for this time of year.
Gasoline stockpiles also increased more than expected this week, and to an even larger degree than crude oil. While traders were expecting a decrease of 700K barrels, actual inventories increased by 3.495 million barrels. Here again, inventories remain well above average.