US Weekly Oil Summary: Crude Stocks Build Unexpectedly

US Crude stocks unexpectedly built, driven by the Gulf Coast and West Coast with production holding unchanged on the week and with a drop in refinery runs.

• EIA Weekly US Petroleum Summary - w/w change week ending Jun 21: Crude stocks +3,591 vs Exp -2,381, Crude production 0: Gasoline stocks +2,654 vs Exp -1,299: Implied mogas demand -417: Distillate stocks -377 vs Exp -620
• US retail gasoline demand saw a rise of 0.8% for the week ending June 22 (Sun-Sat) to 8.875m b/d, according to GasBuddy.
• US West Coast refiners are replacing Iraqi oil imports with Canadian crude as the newly expanded Trans Mountain pipeline reshuffled trades flows in the Pacific, Bloomberg said.
• 55% of the crude volumes that have come out of the new TMX pipeline at Vancouver Port have headed towards Southern California to be loaded onto VLCC’s according to Vortexa.
• Greenback: The Bloomberg dollar spot index is unchanged on the week at 1268.02
• The overall Dallas Fed manufacturing index was as expected in June, rising to -15.1 (cons -15.0) from -19.4 in May. The production index suggested activity was essentially flat as it only ticked up from -2.8 to +0.7.
• New home sales were softer than expected in May at 619k (cons 633k), marking a sharp monthly decline but only after unusually large upward revisions since Feb but especially in April which left the level of April sales 10% higher than previously though (698k vs 634k).
• May Core PCE price index 0.083% M/M (0.1% expected).