The Energy Information Administration (EIA) provides weekly information on petroleum inventories in the U.S., whether produced here or abroad. The level of inventories helps determine prices for petroleum products. Why Investors Care
| Released on 6/4/08 For wk 5/30 2008 | ||||||||
| ||||||||
Highlights
Crude oil stocks fell 4.8 million barrels in the May 30 week to 306.8 million. Refineries turned up output, operating at 89.7 percent of capacity and, along with imports, drove up stocks of gasoline, +2.9 million barrels to 209.1 million, and distillates, +2.3 million to 111.7 million. The rise in gasoline stocks is helping to widen the separation between stocks, up 3.3 percent year-on-year, and demand, which because of high prices and weak economic growth is down 1.4 percent from last year. Oil prices, apparently reacting to the rise in gasoline stocks, fell sharply in immediate reaction to the results.
![[Chart]](chart.gif)
|
As is evident from the chart, crude oil stocks can fluctuate dramatically over the year. When oil prices nearly reached $50 per barrel in August 2004, financial market players began to monitor crude oil inventories. It is not surprising to see sharp price hikes in crude oil when inventories are falling. Conversely, one would expect price declines when inventories are rising. |
powered by
![[Econoday]](../../../../../../../../../images/logo.gif){kind=logo}