Oil Storage Report - Oct 5 --- VERY BULLISH

[dan_s]

October 5, 2016
CRUDE OIL INVENTORY'000 bbls (Week Ended 9/30/16)

Current: 499,740
Actual Build/(Withdrawal): (2,976)
Economist Average Estimate: 1,059
Previous: 502,716

If these draws keep coming, the oil market is back in balance. Hurricane activity may be to blame.

This week’s crude oil draw marks the fifth-consecutive reduction in crude oil storage. The total 26,000,000 Bbls pulled out of inventories since September has surprised many market participants, as it comes toward the end of summer and has carried into autumn, when driving drops and U.S. refineries shut in for seasonal maintenance.

[dan_s]

Read http://www.investors.com/news/u-s-crude ... ight-week/

For months now, I have believed the EIA has been overstating U.S. oil production. Combined with the imports they have been reporting, there is no way the oil inventory should be falling this fast.

Over the many years that I have been watching the EIA reports this has happened before. They seldom admit their screw-ups.

[dan_s]

From Reuters

Participation by non-OPEC countries in a deal to stabilize oil prices would remove a total of 1.2 million barrels per day from an oversupplied market, Venezuela’s Oil Minister Eulogio Del Pino said on Tuesday.
http://www.oilandgas360.com/non-opec-pa ... S_Campaign