Normally crude oil and its two refined products — heating oil and gasoline — move hand in hand. But these are far from normal times.
The government's latest Weekly Petroleum Inventory report showed another big build in crude oil supplies of 4.7 million barrels. Not only was the size of the increase larger than expected, it went against a trade industry survey out Tuesday that showed a drop instead.
As a result of the build, crude oil stocks are well above five-year highs.
However, gasoline supplies are moving in the other direction, supporting a rally that began back in December when prices bottomed. Gasoline inventories fell by 2.6 million barrels — the trade expected a modest increase. And. the number of days supply moved below last year at this time, as drivers are back in their cars thanks to stability in prices.
To read Bryce Knorr's complete weekly energy review, click HERE.
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