Lower-than-Expected Crude Inventory Build; Distillate and Gasoline Draw

Summary of the Conference Call Industry Overview - The report focuses on the Energy sector, specifically the crude oil and products inventory in the United States as of March 12, 2025 Key Points and Arguments - Crude Oil Inventory Changes: - Total crude oil inventory built approximately 1.45 million barrels compared to a Bloomberg median estimate of a 2.0 million barrel build [10] - Gasoline inventory drew approximately 5.74 million barrels, exceeding the Bloomberg median estimate of a 1.6 million barrel draw [10] - Distillate inventory drew approximately 1.56 million barrels, against a Bloomberg median estimate for unchanged inventory [10] - Cushing crude stock drew approximately 1.23 million barrels, now at 24.5 million barrels, which is about 22% lower year-over-year [10] - Refinery and Demand Metrics: - Refinery runs increased by approximately 321 thousand barrels per day (kbpd) week-over-week to 15.71 million barrels per day (mmbpd), which is about 0.3% higher year-over-year [10] - Implied crude oil demand increased by approximately 30 kbpd week-over-week to 18.84 mmbpd, which is about 3% below the year-ago 3-week moving average [10] - Implied gasoline demand increased by approximately 329 kbpd week-over-week to 10.02 mmbpd, which is about 3% above the year-ago 3-week moving average [10] - Implied distillate demand decreased by approximately 98 kbpd week-over-week to 4.93 mmbpd, which is about 4% above the year-ago 3-week moving average [10] - Inventory Summary: - Total crude oil and products stocks (including SPR) decreased by approximately 5.68 million barrels [23] - Total oil and products inventory (excluding SPR) showed a year-over-year percentage change of approximately -8.3% [23] Additional Important Information - The report includes graphical breakdowns of inventories and demand by product and PADD, comparing results to weekly, quarterly, and year-ago levels [2] - The report emphasizes the importance of monitoring these metrics for understanding market dynamics and potential investment opportunities in the energy sector [1][2] - Analyst contact information is provided for further inquiries, indicating a professional and accessible approach to investor relations [6][20] This summary encapsulates the critical insights from the conference call, highlighting the current state of the energy market, particularly in crude oil and product inventories, along with demand trends and their implications for future market conditions.