U.S. crude oil supplies fell 600,000 barrels for the week ending May 10, according to an Energy Information Administration report (link opens in PDF) released today. That's a dip of about 0.15%.
While imports remained virtually unchanged from the previous week, a slight increase in refinery input pushed overall supply to 394.9 million barrels. After rising 200,000 barrels the previous week to hit record highs for the second week in a row, this latest news is a welcome downturn in inventories. However, the report notes that inventories continue to remain "well above the upper limit of the average range for this time of year."
Total motor gasoline inventories increased 2.6 million barrels, pushing supply out of the middle ground and into the upper half of its seasonally adjusted range. Gasoline demand remains weak, even as pump prices headed higher for the second straight week. The national average hit $3.603 per gallon on May 13, up $0.065 from the previous week but $0.151 below the average last May.
Distillate fuel inventories also expanded, up 2.6 million barrels. While supplies remain in the lower half of their average range, overall demand remains weak.