Tortoise’s Matt Sallee in Bloomberg

Oil’s Advance Peters Out Despite Surprise U.S. Crude Withdrawal

U.S. crude oil stocks decreased 1.1 million barrels last week
Gasoline stocks at multiyear highest despite modest build

Oil’s longest streak of gains in almost two months lost momentum after swelling domestic fuel inventories neutralized a surprise decline in domestic crude inventories.

Futures in New York settled a penny below a three-month closing high on Wednesday. Crude supplies held in U.S. storage fell to levels not seen since early November following last week’s 1.1-million-barrel withdrawal. Still, stockpiles of gasoline, diesel and heating oil expanded even as as demand rebounded.

“The report was modestly bullish,” said Matt Sallee, portfolio manager at Tortoise, a Kansas firm that oversees more than $21 billion in assets. “Gasoline continued its seasonal build.”

Read more here: https://www.bloomberg.com/news/articles/2019-12-17/oil-retreats-after-report-points-to-big-rise-in-u-s-stockpiles

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