- U.S. inventories fell by 1.4 million barrels last week: EIA
- Stock draws show tightening market but fall below API forecast
Oil lost ground after government data showed U.S. crude and gasoline supplies shrinking less than forecast by an industry report.
Futures in New York closed down 0.5 percent Thursday after the Energy Information Administration said American oil stockpiles shrank for the first time in four weeks. Gasoline stocks fell as well, but both declines were below American Petroleum Institute estimates that had lifted the market earlier.
The numbers “came in a little shy of expectations,” said Nick Holmes, an analyst at Leawood, Kansas-based money manager Tortoise. Still, he saw the report as bullish overall: “There are still lingering concerns in the market, so it’s good to see U.S. crude and gasoline demand pick back up.”