Oil Markets in Trump Wartime

At the close of Wednesday’s formal trading session, WTI fell $5.89 to settle at $98.26 a barrel. The Energy Information Administration (EIA) reports crude oil inventories decreased by 7.9 million barrels from the previous week. At 445 million barrels, U.S. crude oil inventories are about 2% below the five-year average for this time of year.

The latest EIA data show that gasoline demand increased last week from 8.75 million b/d to 8.76 million. Total domestic gasoline supply decreased from 215.7 million barrels to 214.2 million. Gasoline production decreased last week, averaging 9.3 million barrels per day.