US crude oil inventories fall by 974,000 barrels last week: API

Oil tanks

US crude oil inventories fell last week, with gasoline and distillate inventories declining, signaling momentum in energy demand in the world’s largest economy.

In a report issued by the American Petroleum Institute (API) on Aug. 26, it said commercial crude inventories fell by 974,000 barrels in the week ended Aug. 22, compared with expectations for a drop of 1.7 million barrels.

Gasoline inventories rose by 2.06 million barrels, while distillate stocks — including diesel and heating oil — increased by 1.488 million barrels.

Investors are now awaiting official data from the US Energy Information Administration (EIA), due Aug. 27, with forecasts pointing to a 1.7-million-barrel decline in crude inventories.

At the Aug. 26 close, October Brent crude futures fell 2.3%, or $1.58, to $67.22 a barrel, while October WTI futures dropped 2.39%, or $1.55, to $63.25 a barrel.