Oil Futures Rebound After U.S. Crude Stock Decline


   
Barani Krishnan
DTN Refined Fuels Market Reporter

   SECAUCUS, NJ (DTN) -- Oil prices rebounded Thursday (11/20) as focus 
returned to the U.S. Energy Information Administration's weekly inventory 
report released in the previous session that showed a significant drawdown for 
crude.

   Crude futures fell by 2% Wednesday (11/19) on the potential for a global 
supply surplus to grow further from Russia's planned output hike despite 
Western sanctions on its oil.

   In Thursday's morning session, the NYMEX WTI contract for December delivery 
rose by $0.46 to $59.89 bbl. ICE Brent for January delivery climbed by $0.45 to 
$63.96 bbl.

   Refined product prices remained under pressure, however. December RBOB 
gasoline futures fell by $0.0062 to $1.9259 gallon. Front-month ULSD futures 
slipped by $0.0243 to $2.5114 gallon.

   The U.S. Dollar Index fell by 0.111 points to 100.11, aiding positive 
sentiment across commodity markets.

   Commercial crude stocks declined by 3.4 million bbl to 424.2 million bbl, 
following the prior week's build of 6.4 million bbl, the EIA said in its Weekly 
Petroleum Status Report on Wednesday.

   Prospects for Russian supplies to grow further deflected attention from the 
U.S. crude draw, as Moscow announced plans to fully meet its OPEC+ production 
quota by the end of 2025 or early 2026 despite Western sanctions and Ukraine 
drone attacks that had impacted output in October.

   The EIA also cited surpluses in U.S. fuel stockpiles last week that partly 
offset the draw it reported in crude.

   Distillate oil inventories rose by 200,000 bbl to 111.1 million bbl in the 
week ending November 14, after a 600,000 bbl decline in the prior week, the 
agency said.

   Total motor gasoline inventories increased by 2.3 million bbl to 207.4 
million bbl in the profiled week, following a 900,000 bbl drop the prior week.




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