Total domestic crude inventories in the U.S. added 3.2 million bbl last week, according to the Energy Information Administration’s latest weekly petroleum status report. Stocks now sit at 426 million bbl, which is 28.9 million bbl lower than the level seen at this time last year, but the highest level since mid-June. Steady growth in crude inventories has helped to check excessive increases in crude prices. However, pending U.S.-imposed sanctions on Iran’s crude exports could potentially ignite fears in the market about constrained global supply this winter, leading oil prices to see new highs for 2018. The sanctions, which among other items target oil sales, will take effect on November 5.
Crude Inventories Increase for Sixth Consecutive Week