U.S. crude, gasoline inventories fall more than expected
(Reuters) - U.S. crude stocks drew more than expected on strong refining demand, while gasoline inventories posted a large draw after an increase in driving last week, the Energy Information Administration said on Thursday.
Crude inventories fell by 1.5 million barrels in the last week to 452.2 million barrels, compared with analysts' expectations in a Reuters poll for a drop of 1 million barrels.
Crude stocks at the Cushing, Oklahoma, delivery hub fell by 400,000 barrels in the week ended June 30, EIA said.
"Refining run rate is high enough to put pressure on inventories," said John Kilduff, partner at Again Capital LLC in New York. "Gasoline demand was extraordinary, and reflective of the July 4th holiday travel."
Refinery crude runs fell by 224,000 barrels per day in the last week, EIA said.
Refinery utilization rates fell by 1.1 percentage points in the week to 91.1%.
U.S. gasoline stocks fell by 2.5 million barrels in the week to 219.5 million barrels, the EIA said, compared with analysts' expectations in a Reuters poll for a drop of 1.4 million barrels.
Distillate stockpiles, which include diesel and heating oil, fell by 1 million barrels in the week to 113.4 million barrels, versus expectations for a rise of 300,000 barrels, the EIA data showed.
Net U.S. crude imports rose by 1.9 million barrels per day, EIA said.
Oil prices, however, shrugged off the bullish EIA report and traded lower on fears of a U.S. interest rate hike.
Brent crude futures were down $1.34, or 1.6%, at $75.31 at 1123 a.m. ET (1523 GMT), while U.S. crude futures were down $1.16, or 1.7%, at $70.61.
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