U.S. crude oil inventories posted another increase in the final week of December, according to estimates from the American Petroleum Institute (API). The industry group put the build at 1.7 million barrels for the week ending December 26, following a larger 2.4 million-barrel increase the week before.
Despite the latest additions, inventories are still lower on a year-to-date basis. API data compiled by Oilprice show that U.S. crude stocks are down a net 5.1 million barrels so far this year.
Government data earlier in the week showed a modest rise in Strategic Petroleum Reserve holdings. The Department of Energy reported that SPR inventories increased by 200,000 barrels to 413.2 million barrels, as efforts continue to rebuild stocks drawn down in previous years.
U.S. oil production edged lower in mid-December. According to the latest EIA figures, output slipped to 13.825 million barrels per day in the week ending December 19, down slightly from 13.843 million bpd a week earlier. Even with the dip, production remains 262,000 bpd higher than at the start of the year.
Oil prices were little changed in midday trading. At 12:56 p.m. ET, Brent crude was essentially flat at $61.95 per barrel, though about $0.50 lower than a week earlier. WTI was trading slightly lower at $57.97, down $0.12 on the day.
Note by Alessandro Bazzoni