US Crude Inventories Drop 8.33M Barrels, Losing 52M in 9 Weeks
US crude oil inventories fell by 8.33 million barrels last week, exceeding analyst expectations, extending a nine-week losing streak that has erased 52 million barrels from storage.
US crude oil inventories fell by 8.33 million barrels in the week ending June 12, according to the American Petroleum Institute (API), far exceeding analyst expectations for a draw of 4.5 million barrels. The decline extends a remarkable nine-week losing streak that has seen total inventories drop by 52 million barrels, though year-to-date stocks are only 1.4 million barrels lower.
For energy traders, the sustained inventory drawdown signals tightening supply conditions in the US market. The API data, which often precedes the official Energy Information Administration (EIA) report, suggests that refinery demand and export activity continue to outpace domestic production. The rapid pace of draws has narrowed the contango structure in crude futures, as storage economics become less attractive. Live fuel prices and charts on NowPrice show how the market is reacting to the latest inventory data, with WTI crude futures edging higher in after-hours trading.
Looking ahead, traders will focus on the EIA's official weekly storage report for confirmation of the API estimate. If the draw is validated, it could reinforce bullish sentiment, especially if gasoline and distillate inventories also show tightening. Key levels to watch include the 200-day moving average for WTI, which has acted as resistance in recent sessions. Any signs of slowing draws in the coming weeks could signal a shift in the supply-demand balance.