DOE Data Shows Refineries Hanging Tough (OIH, USO, VLO, SUN, HES)
The weekly Department of Energy inventories data came out this morning. There seems to be good news for those looking for price stability as crude oil inventories went up and capacity rates at the refining level remained rather high. Gasoline…
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US Refineries ran At 87.8%, right in-line with a Dow Jones target of 87.80 and down only 0.1% from the 87.9% of a week ago.
Crude Oil supply grew by 2.46 million barrels to 365.146 million barrels, and Dow Jones was looking for a mere gain of 100,000 barrels and we had expected a +/- 200,000 range.
Gasoline inventory was also a surprise draw of 203,000 barrels down to 221.63 million barrels, when Dow Jones was calling for 0.1% and when we had been told to look for a build of even more than that as inventories build going into a very high-demand week of gasoline use.
Distillate Stocks fell by 267,000 barrels to 152.543 million barrels, but the Dow Jones estimate was relatively a flat call.
NYMEX WTI Crude is now up $2.60 on the day and trading at $71.35 per barrel. Oil Services HOLDRs (NYSE: OIH) is up almost 2% at $102.45 and the United States Oil (NYSE: USO) is up 2.5% at $32.65.
As far as the refineries, Valero Energy Corp. (NYSE: VLO) is up 2.5% at $17.81, Sunoco Inc. (NYSE: SUN) is up 2.3% at $28.74, and Hess Corporation (NYSE: HES) is up only 0.98% at $42.74.
JON C. OGG
Contact [email protected] for any questions or corrections.
Jon Ogg has been a financial news analyst since 1997. Mr. Ogg set up one of the first audio squawk box services for traders called TTN, which he sold in 2003. He has previously worked as a licensed broker to some of the top U.S. and E.U. financial institutions, managed capital, and has raised private capital at the seed and venture stage. He has lived in Copenhagen, Denmark, as well as New York and Chicago, and he now lives in Houston, Texas. Jon received a Bachelor of Business Administration in finance at University of Houston in 1992. www.247wallst.com.