U.S. Markets open in 6 hrs 53 mins

Why US Crude Oil Inventory Levels May Fall

Robert Scott
Why US Crude Oil Inventory Levels May Fall

According to the EIA (U.S. Energy Information Administration), in the week ended May 4, US crude oil inventories fell by ~2.2 MMbbls (million barrels) to ~433.8 MMbbls. However, the market expected a fall of 0.4 MMbbls, based on the S&P Global Platts Survey. That day, US crude oil June futures rose 3%, supported by the larger-than-expected fall in US crude oil inventories and the US exit from the Iran nuclear deal on May 8.