FILE PHOTO: Oil pump jacks work at sunset near Midland, Texas, U.S., August 21, 2019. REUTERS/Jessica Lutz
Crude inventories fell by 5.5 million barrels in the week to Dec. 20 to 441.4 million barrels, far exceeding the 1.7-million-barrel drop expected by analysts in a Reuters poll. Oil prices were modestly higher on the data, with Brent crude rebounding from earlier losses to gain 16 cents to $68.08 at 11:18 a.m. EST in relatively light year-end trading. U.S. crude dipped by 2 cents to $61.66 a barrel.
“Unfortunately for the refineries, they’re turning that crude oil surplus into additional stocks of gasoline, which doesn’t bode well for refining margins in early 2020.”
They should!
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