Following last week's epic crude inventory drawdown, the market expected a post-hurricane build of 4mm barrels, but API reported a mere 1.4mm build. However, a massive build in Distillates inventories (+5.3mm – biggest in 8 months) confused the machines. WTI had fallen back to a $44 handle – erasing all the inventory-draw-spike gains – before API data hit; but then spiked to last week's API levels, tumbled, then spiked again…

 

API

  • Crude +1.4mm (+4mm exp)
  • Cushing -1.12mm (-300k exp)
  • Gasoline -2.4mm (-1.1mm exp)
  • Distillates +5.3mm

After last week's (storm-driven) massive inventory draw, expectations were for a build, but the build disappointed. However Distillates saw the biggest build in 8 months…

 

Notably, WTI had fallen back and erased all of the post-inventory bounce. As Price Futures' Phil Flynn noted, the market "is worried about a post-hurricane rebound in supply."

 

But price ati0on was chaotic with the big distillates build confusing algos…

 

Charts: Bloomberg

The post Crude Chaos Strikes On Disappointing Post-Hurricane Rebound In Inventories appeared first on crude-oil.top.