Fueling Strategy: Please keep tanks topped today/tonight, Friday AM wholesale prices will go up 1.5 cents – Be Safe

NYMEX Crude $ 49.09 DN $.0700
NY Harbor ULSD $1.7861 UP $.0266
NYMEX Gasoline $1.6610 DN $.0123

NEWS
U.S. oil prices closed lower Thursday after the U.S. government reported the first climb for domestic crude inventories in 10 weeks, of U.S. stocks data, as Gulf storm Harvey caused refinery shutdowns in Texas, reducing demand for the commodity.

Gasoline futures eased back for a fourth-straight session, despite a hefty weekly drop in U.S. stockpiles, with refinery capacity improving as floodwaters from the storm recede.

October West Texas Intermediate crude fell 7 cents, or 0.1%, to settle at $49.09 a barrel on the New York Mercantile Exchange. After settling Wednesday at its highest since Aug. 9, it’s still trading around 3.8% higher for the week. November Brent crude meanwhile, edged up by 29 cents, or 0.5%, to $54.49 a barrel on ICE Futures Europe, finishing at its highest finish since April 18.

Early Thursday, the U.S. Energy Information Administration said domestic crude supplies climbed by 4.6 million barrels for the week ended Sept. 1. The rise followed nine-consecutive weeks of declines. Forecasts for the supply data differed somewhat. Analysts polled by S&P Global Platts forecast a rise of 2.7 million barrels for crude stocks, but a survey from The Wall Street Journal showed expectations for a larger rise of 5 million barrels. The American Petroleum Institute reported Wednesday that U.S. crude supplies rose 2.8 million barrels last week.

Crude-oil refinery inputs fell by 3.3 million barrels a day last week, to average 14.5 million barrels a day, while refineries operated at just 79.7% of capacity, the EIA said. “We do expect to see [crude] demand destruction not only in the Texas region but also in Florida with the impact of [Hurricane] Irma,” said Tariq Zahir, managing member at Tyche Capital Advisors. “We do feel we will continue to see crude oil builds in the weeks to come due to the demand destruction and especially since we are past the summer driving season.” He expects to “continue to see builds [for crude supplies] in the weeks to come as we see refineries slowly come back online and we are also going to refinery maintenance season.”

Gasoline stockpiles were down 3.2 million barrels for the week, while distillate stockpiles edged down by 1.4 million barrels, according to the EIA. The S&P Global Platts survey showed forecasts for declines of 4.2 million in gasoline and 1.9 million barrels for distillates, which include heating oil.

Have a great day,

Loren R. Bailey, President
Fuel Manager Services Inc
“Serving the Trucking Industry Since 1992”
www.FuelManagerServices.com
Cellular: 479-790-5581
Office: 479-846-2761