A v-shaped recovery in WTI/RBOB today (amid a dollar reversal at the EU close and chatter about a big crude draw) led prices higher into the API print (but after last week's 100% incorrect API vs DOE reversal, who knows what it means). And the rumors were true – a huge crude draw (biggest in 2 months) and the first build at Cushing in 8 weeks. However WTI prices didn't move much as product builds weighed on RBOB prices.
- Crude -7.13mm (-3.2mm exp) – bigget draw in 2 months
- Cushing -151k – first draw in 2 months
- Gasoline +1.951mm (+1.05mm exp)
- Distillates +1.644mm – biggest in 3 months
After last week's 100% wrong API data (API crude build, gas draw; DOE crude draw, gas build), who knows what will happen.
Early weakness (strong dollar and weak IP) rebounded after Europe closed and the dollar sold off, leaving WTI/RBOB at its highs ahead of API. The initial reaction was RBOB lower and WTI higher…