Oil Prices Decline While Stockpiles Fall – Review for November 28

The prices of crude oil declined during recent days as the tensions in the Middle East have subsided. The petroleum and oil weekly report prepared by Energy Information Administration analyzes the ramifications of the rise in domestic oil production on the oil market.    During the previous week, U.S stockpiles declined: the total U.S oil and petroleum stockpiles slipped by 1.4 million bl; moreover, crude oil stockpiles fell by 0.3 million bl. The oil production, refinery input and imports increased last week.

Here is a weekly report for the week ending on November 23rd 2012 of the U.S oil and petroleum market:

Crude Oil Stockpiles

For the week ending on November 23rd, U.S. Petroleum and crude oil stockpiles slightly declined by 1.4 million barrels and reached 1,781.5 million barrels. The current oil stockpiles remain higher than the quota from year: the current crude oil stockpiles are 41.1 million barrels above oil stockpiles for the same week in 2011.

U.S. Ending Stocks of crude oil also declined by 0.3 million barrels and reached 1,069.0 million barrels.

The U.S. Ending Stocks of Total Gasoline, on the other hand, rose by 1.93% compared with last week’s stocks; it reached 204.255 million barrels.

In the chart below are the changes of petroleum and oil stockpiles and price of oil in recent years. During the last few years the lagged linear correlation between WTI oil price and current oil stockpiles was -0.188. This mid-weak correlation postulates, assuming all things equal, oil prices may slightly increase during next week.

u.s. ending stocks oil  2012 november 28


Petroleum production refinery inputs and imports (for the week of November 23rd)

During last week, imports, refinery inputs and production rose.

The four week average of U.S. production (million of barrels a day) for the week of November 23rd rose to 6.729; it is also 0.6% above the average production at the same week in 2011.

The crude oil refinery inputs (4 week average) edged up to 14.836 (million b/d), a 0.5% gain compared with the week of 16/11/2012; inputs were also 1.7% higher than the same week last year.

Crude oil imports increased to 7.942 (for 4 week average) compared with the week of 16/11/2012; they were still 8.1% below the average during the same week last year.

Below is a detailed review of the information listed above (for the week of November 23rd):

Production and Imports Oil Refinery Inputs 2012 November 28

Propane Stocks

Propane stocks rose by 181 thousand barrels and reached 72,847 thousand barrels.

Crude Oil, Gasoline and Diesel Prices for the Week Ending on November 23rd

The average price of U.S gasoline retail increased by 1 cent to $3.44/g, which is $0.13/g higher than the price during the same week in 2011.

The national average Diesel price also rose by six pennies as it reached $4.03/g; this price is $0.07/g lower than last year’s average price at same time.

A detailed analysis of oil prices for the week ending on November 23rd is herein.

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