US Daily Oil Summary: US Stocks Build

The US saw a build in its crude and gasoline stocks on the week, according to EIA data, roughly in line with market expectations.

• EIA Weekly US Petroleum Summary - w/w change week ending Oct 27: Crude stocks +773 vs Exp +1,001, Crude production 0, SPR stocks 0, Cushing stocks +272, Gasoline stocks +65 vs Exp -228, Implied mogas demand -167, Distillate stocks -792 vs Exp -1,137, Implied dist demand -387.
• The US Gulf saw a drop in sour crude imports for a third consecutive month in October, in part because of Autumnal maintenance as well as OPEC+ cuts according to Vortexa.
• US refiner Citgo Petroleum, under the administration of the Venezuelan opposition, has decided against buying Venezuelan crude despite eased US sanctions in October according to Bloomberg reports.
• Federal Reserve officials left interest rates on hold at 22-year highs for a second meeting in a row Wednesday, but also did not rule the possibility to additional tightening later this year or next year if inflation proves more stubborn than expected.
• “Tighter financial and credit conditions for households and businesses are likely to weight on economic activity, hiring and inflation,” the FOMC said in its statement, which notably added the word “financial” as a nod to the recent spike in 10-year yields to their highest levels since 2007.
• The Bloomberg dollar spot index was largely stable on the day at 1276.18, but seen some intraday movements, moving in range between 1278.90 and 1274.28.