US Petroleum Inventories Drop to 2004 Low on Export Surge
Total US crude and petroleum product inventories fell 10.6 million barrels last week to the lowest level since 2004, driven by a record drop in commercial stocks and surging exports to Asia and Europe, according to EIA data.
US petroleum stockpiles continue to drain at a rapid pace. According to the latest EIA report, total commercial and government inventories fell by 10.6 million barrels last week to 1.57 billion barrels, the lowest since 2004.
The decline was led by crude stocks, which dropped 15.9 million barrels — the second-largest weekly fall on record. The draw reflects surging US exports, which rose to 13.6 million barrels per day, the second-highest ever, as global markets scramble to replace disrupted Middle Eastern supplies. Before the Iran war, exports averaged roughly 3.0 million barrels per day.
The Strategic Petroleum Reserve also lost 7.9 million barrels last week, bringing its total draw since the start of the war to 58 million barrels. SPR stocks now stand at 357 million barrels, the lowest since January 2024. The US is effectively acting as the lender of last resort for global oil markets.
Source: The Kobeissi Letter