Crude Futures Soft Despite Larger than Expected Draw on U.S. Inventories

by Mohammed Marzuq, KPI Bridge Oil
Wednesday August 5, 2015

Today EIA information showed that U.S crude inventories fell by 4.4 million barrels last week when crude analysts were only expecting a 1.7 million barrel draw.

Although the residual stocks fell heavily, distillate inventories rose significantly in the U.S. Brent contracts for September delivery were in the red most of the day but ended up curbing all the losses by the end of the trading day.

Brent settled at $49.59 per barrel down $0.40 cents.

WTI contracts for September were down most of the day and settled at $45.15 per barrel.

The realization that there is heavy over supply of crude oil globally has really started to sink in and we really noticed that today.

Usually a big draw in U.S crude inventory would entice firming across the board.

Bunkers were steady today in the primary ports.

About KPI Bridge Oil

KPI Bridge Oil is one of the world's leading international bunker broking and trading firms. With a network of offices that covers every major time zone, we have an in-depth knowledge of ports and bunker markets around the world. Our access to real-time market information and long-established credit lines with suppliers means we use our buying power in the right place and at the right time. All this ensures our customers enjoy competitive prices - and on favourable terms.

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