This morning's release of weekly crude oil inventories form the Department of Energy showed that stockpiles dropped by 2.05 mln barrels, which was nearly the exact opposite of the 1.8 mln barrels that traders were looking for. Even after this week's drawdown, though, current stockpiles have never been higher at this time of year than they are now.
With cars lined up at any gas station that has gas in the New York and New Jersey area, gasoline inventories are of particular interest for many. Unlike crude oil, gasoline inventories actually rose by nearly a million barrels (0.935 mln). That helped to alleviate what is already a tight supply situation in the commodity. Interestingly, although gas stations seem to have no inventory, the problem has been getting the gasoline out to the retailers. To that end, even though supply at the pump is tight, next week's inventories could actually see an increase.