Sam Fletcher
Senior Writer
HOUSTON, Feb.16 -- Crude futures prices declined in light trading Feb. 15 on the New York Mercantile Exchange in anticipation of a jump in crude inventories.
Sure enough, the Energy Information Administration reported Feb. 16 that commercial US crude stocks jumped by 2.1 million bbl to 296.4 million bbl during the week ended Feb. 11. US gasoline inventories soared by 4.9 million bbl to 221.7 million bbl in the same period, while distillate fuel stocks fell by 3.1 million bbl to 112.5 million bbl.
US imports of crude increased by 520,000 b/d to more than 10.4 million b/d. "Imports from Saudi Arabia were relatively high last week," said EIA officials.
The input of crude into US refineries increased by 266,000 b/d to 15.3 million b/d in the week ended Feb. 11, with refineries operating at 91.7% of capacity. Gasoline production increased slightly to 8.6 million b/d, while distillate production declined to 3.7 million b/d.
Meanwhile, there were reports Feb. 16 of a large explosion of an unknown source in southern Iraq near Dailam in the Bushehr province. Iran and Syria also said they are forming a "common front" against alleged threats from the US.
Energy prices
The March contract for benchmark light, sweet crudes lost 18¢ to $47.26/bbl Feb. 15 on NYMEX. The April position fell by 25¢ to $47.77/bbl. On the US spot market, West Texas Intermediate was down by 18¢ to $47.27/bbl. Gasoline for March delivery dropped 2.16¢ to $1.26/gal on NYMEX. Heating oil for the same month dipped by 0.31¢ to $1.2913/gal.
The March natural gas contract increased by 8.2¢ to $6.18/MMbtu on NYMEX, "backed by a slightly firm [spot] cash market ahead of colder weather later this week and steady technical buying after an early attempt to move lower quickly stalled," said analysts at Enerfax Daily.
In London, the April contract for North Sea Brent crude declined by 14¢ to $45.39/bbl on the International Petroleum Exchange.
The average price for the Organization of Petroleum Exporting Countries' basket of seven benchmark crudes bumped up by 40¢ to $41.84/bbl on Feb. 15..
Contact Sam Fletcher at [email protected]
