The latest data from Genscape show that the crude oil inventory at Cushing, Oklahoma, rose by 503,000 barrels between February 19 and February 24, 2016. The API (American Petroleum Institute) reported that the Cushing crude oil inventory rose by 0.31 MMbbls (million barrels) for the week ending February 19, 2016. The EIA (U.S. Energy Information Administration) reported that the Cushing crude oil inventory rose by 333,000 bpd (barrels per day) to 65 MMbbls for the same period. The Cushing crude oil inventory has risen due to the increase in supply as a result of new pipelines coming online and the increase in storage capacities in response to long-term oversupply concerns. The pipeline infrastructure in this area is the Keystone pipeline owned by TransCanada (TRP). The rise in the Cushing crude oil inventory might boost crude oil and refined products exports. However, the current WTI-Brent spread makes US crude oil exports unviable.
Oil prices rose on Tuesday on hopes of progress toward a trade agreement between the United States and China, the world’s biggest oil users, and predictions of a draw on U.S. crude inventories.
“The current consensus is that the OPEC+ supply agreement will be rolled over for at least three months at the group’s next meeting with special emphasis on stricter compliance,” Tamas Varga of oil brokerage PVM said.
more at source: https://www.reuters.com/article/us-global-oil-idUSKBN1Y0040