Post by
MigraineCall on Apr 13, 2022 11:13am
Today's EIA Inventory Head Fake
LOL!
With so many fat fingers on the keyboards, and the market followed by a Borg cube worth of algos, the sell button was smashed upon the big headline crude inventory number release of a massinve +9.382 MM bbl build in crude.
WTI drops 1.3% instantly, then within seconds, retraces back to where it started, and keeps rising... Why?
The report:
Crude +9.382MM, Exp. +1.0MM
Gasoline -3.648MM
Distillate -2.902MM
Cushing +450K
But wait, there's more...!
When you dig a little deeper, and add in an SPR release of 3.89MM, we have an overall net Crude/Product/SPR draw of 1.05MM bbls. A bullish report.
Exports were down, imports were up, refinery runs were down due to turnarounds, and the SPR is being drained.
For those of us trading oil or oil stocks around EIA inventory time, this is why knowing all the details are important.
Whatever happens later in the day is anyone's guess.
Cheers
Comment by
Chad123 on Apr 13, 2022 11:19am
Thanks for that info! Where do you get the info on the SPR releases?
Comment by
Clemxb7 on Apr 13, 2022 11:32am
https://ir.eia.gov/wpsr/overview.pdf
Comment by
MigraineCall on Apr 13, 2022 11:45am
Yes, that is good, and great to go through later, but too slow as it gets delayed. Hence the lag in reaction as the market catches up with the true picture. I found it best for me to use the Twitter feeds from a bunch of energy sources I follow during the release announcement.