*Cushing, Okla., is a major oil storage site.
OpeOluwani Akintayo
Lagos — Total US commercial oil stocks fell month-on-month by 42.6 million barrels to stand at 1,376.5 million barrels in October.
According to the Organization for the Petroleum Exporting Countries, OPEC’s November Monthly Oil Market Report, MOMR preliminary data for October showed, 42.6 million barrels is 84.9 mb, or 6.6%, above the same month a year ago, and 82.7 mb, or 6.4%, higher than the latest five-year average.
Crude and product stocks fell m-o-m by 8.5 mb and 34.1 mb, respectively. US commercial crude stocks fell by 8.5 mb m-o-m in October to stand at 484.4 mb. This is 41.1 mb, or 9.3%, above the same month last year, and 27.8 mb, or 6.1%, above the latest five-year average.
The fall was driven mainly by falling crude production, however lower crude runs in October limited a further drop in crude oil commercial stocks.
Total product stocks in October fell m-o-m, dropping by 34.1 mb, to stand at 892.1 mb. This is 49.9 mb, or 5.9%, above October 2019 levels, and 59.5 mb, or 7.2%, above the latest five-year average. Within the components, with the exception of gasoline, all other products experienced stock draws.
The country’s gasoline stocks rose m-o-m in October by 0.9 mb to settle at 227.7 mb. This is 3.2 mb, or 1.4%, above the same month last year, and 4.5 mb, or 2.0%, higher than the latest five-year average. The monthly stock draw came mainly on the back of lower gasoline demand, which fell by more than 160 tb/d to average 8.44 mb/d.
In contrast, its distillate stocks fell m-o-m by 17.2 mb in October to stand at 154.6 mb. This is 34.6 mb, or 28.8%, higher than the same month a year ago, and 20.0 mb, or 14.9%, above the latest five-year average. The fall was driven by higher distillate demand, which increased by around 370 tb/d to stand at 3.94 mb/d.
Residual fuel oil stocks fell m-o-m in October, dropping by 0.6 mb. At 31.7 mb, this was 2.0 mb, or 6.7%, higher than the same month a year ago, but 2.6 mb, or 7.6%, below the latest five-year average.
According to the report, the country’s jet fuel fell m-o-m by 2.2 mb, ending October at 37.4 mb. This is 2.4 mb, or 6.0%, lower than the same month last year, and 3.8 mb, or 9.3%, below the latest five-year average.
