Overview
- The Energy Information Administration reported a 1.7 million‑barrel drop in U.S. commercial crude for the week ending July 10, leaving stockpiles at about 409.7 million barrels, roughly 6% below the five‑year average.
- Industry data from the American Petroleum Institute estimated a smaller draw for the same week, highlighting short‑term divergence between private and official weekly reports that traders use to read the market.
- The Strategic Petroleum Reserve fell by roughly 2.99 million barrels in the latest week to about 316.5 million barrels, a level the coverage says is below last year’s low and the lowest in over 43 years.
- Product balances showed gasoline inventories declined while middle distillates rose by 4.6 million barrels, yet distillate levels remain well under their five‑year average and could strain heating and freight fuel supplies.
- Modest year‑over‑year rises in U.S. crude production and steady demand have not offset steady commercial draws, and combined reserve depletion and renewed U.S.–Iran tensions have increased price volatility and policy scrutiny over reserve adequacy.