U.S. crude oil inventories, along with gasoline and distillate stockpiles, declined in the latest reporting week, according to data released Wednesday by the Energy Information Administration (EIA), reflecting ongoing shifts in supply-demand dynamics.
Crude inventories fell by 2.3 million barrels to 457.2 million barrels in the week ended May 1, undershooting analysts’ expectations for a steeper 3.3 million-barrel draw in a Reuters poll. Stocks at the Cushing, Oklahoma delivery hub also dropped by 648,000 barrels over the same period.
Fuel inventories showed broader declines, with gasoline stocks falling by 2.5 million barrels to 219.8 million barrels, slightly exceeding expectations for a 2.1 million-barrel draw. Distillate inventories, including diesel and heating oil, decreased by 1.3 million barrels to 102.3 million barrels, though the drop was smaller than forecasts.
Refinery activity was mixed, as crude processing rates edged down by 42,000 barrels per day, while utilization rates rose marginally by 0.5 percentage points to 90.1%, indicating steady operational capacity despite reduced throughput.
Meanwhile, net U.S. crude imports increased significantly by 1.42 million barrels per day, suggesting stronger inflows that may have tempered the overall inventory draw.
Following the report, oil markets reacted negatively, with global Brent crude futures falling sharply to $102.06 per barrel and U.S. West Texas Intermediate dropping to $95.19, as traders weighed the smaller-than-expected crude draw against broader market pressures.
The data highlights a complex supply picture, where declining fuel inventories point to resilient demand, while rising imports and softer refinery runs signal evolving market adjustments amid volatile global energy conditions.