Crude In Demand On Drop In US Inventories

A sharp drop in US crude oil inventories supported oil today amid weak equities. WTI Crude oil futures are currently quoting at $ 67.03 per barrel, up 0.63% on the day. MCX Crude oil futures are currently quoting at Rs 4514 per barrel, up 0.18% on the day with the break above Rs 4500 supporting the sentiments. US crude oil inventories, excluding the Strategic Petroleum Reserve, decreased 4.1 million bbl for the week ended June 8, according to US Energy Information Administration (EIA). The latest estimate is 432.4 million barrel, putting oil in storage in the lower half of the average range for this time of year, the Weekly Petroleum Status Report indicated. Further details revealed that the motor gasoline inventories decreased 2.3 million barrel and are in the upper half of the average range. However, a key data stated that gasoline demand was up by 0.3% over the past four weeks when compared with the year-ago period, the EIA said. This is likely to support the commodity ahead of summer driving season. US refinery inputs averaged 17.5 million b/d for the week ended June 8, about 136,000 b/d more than the previous weeks average. Refineries operated at 95.7% of capacity.