The widespread view among the Organization of Petroleum Exporting Countries and its allies is that the oil market can absorb extra barrels, according to people familiar with the matter.
"The question is not 'if' but rather 'by how much' the petro-nations will ease supply curbs," said Norbert Ruecker, an analyst at Julius Baer Group Ltd.
"The economic recovery and the likely leisure and travel activity bounce will fuel oil demand and extra supplies will be needed to avoid an over-tightening."
As we saw with API data, the Texas turmoil will make this inventory/production/demand data very noisy.
Crude +7.35mm (-1.805mm exp) - biggest build since Dec 2020
Gasoline -9.993mm (-2.125mm exp) - biggest draw ever
Distillates -9.053mm (-2.90mm exp) - biggest draw since Jan 2003
Crude +21.563mm (-1.805mm exp) - biggest build ever
Gasoline -13.624mm (-2.125mm exp) - biggest draw ever
Distillates -9.719mm (-2.90mm exp) - biggest draw since Jan 2003
After API's data (massive build in crude, massive draws in products), DOE's official data was stunning to behold with a record build in crude and record draw in gasoline stocks...