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US Crude Stockpiles Fall 47.5 Million Barrels Over 8 Weeks, TPH Energy Says

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US commercial crude inventories fell by 8.3 million barrels last week, marking an eighth straight weekly draw and extending the cumulative decline to 47.5 million barrels, TPH Energy said Thursday.

The draw exceeded both the 3 million-barrel consensus estimate and the 5.1 million-barrel five-year average decline. Inventories now sit 1% below year-ago levels and 6% below the five-year average, according to TPH.

At the Cushing storage hub, crude stocks dropped 1.6 million barrels to 20 million barrels, reaching a new five-year low and matching what TPH described as the minimum operational threshold.

Lower crude imports helped tighten balances as inbound volumes fell by 754,000 barrels per day, more than offsetting a 513,000 b/d decline in exports. Refiners also increased crude processing rates by 230,000 b/d.

Refinery runs have moved back above year-ago levels and now track 2% higher over the year. Meanwhile, domestic crude production edged up by 7,000 b/d to 13.81 million b/d, while the adjustment factor increased by 266,000 b/d.

Ethanol inventories held steady at 24.5 million barrels, though stocks reached a new seasonal high as production remained near five-year highs and export demand weakened compared with last year, TPH said.

Among refined products, gasoline inventories declined by 900,000 barrels, broadly matching the 1 million-barrel consensus draw, while jet fuel stocks fell 1.1 million barrels as weekly demand strengthened.

Distillate inventories increased by 1 million barrels against expectations for a 500,000-barrel decline as demand softened.

The four-week average for total light product demand remained 1% above last year, with jet fuel improving to flat from negative 2%, gasoline holding at negative 1%, and distillate growth easing to 5% from 7%, according to TPH Energy.

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