U.S. Oil Consumption Remains Weak
The U.S. Energy Department’s weekly inventory release showed a surprise climb in crude stockpiles, while distillate supplies posted a smaller-than-expected draw. The agency’s bearish report further added that refiners continued to cut production, and are currently operating at their lowest rate in two decades.
This has instilled renewed doubts about the health of the U.S. economy, and pulled down oil prices to a seven-week low of around $71 per barrel. The only saving grace came in the form of gasoline supplies, which defied market expectations and fell from the week-ago period.
