Highlights
A big draw in gasoline stocks headlines weekly inventory data and has made for an instant $1 surge in oil, now over $71.50. Gasoline stocks fell 1.7 million barrels in the Aug. 21 week. The draw reflects limited runs with refineries operating at a moderate 84.1 percent of capacity. Demand remains muted, down 0.3 percent year-on-year. Crude inventories rose 0.2 million barrels to 343.8 million though stocks at the Cushing, Oklahoma delivery point fell back a steep 1.5 million barrels to 31.8 million. Distillate stocks rose 0.8 million barrels which along with the headline build in crude are likely to limit gains for oil prices. Today's big numbers on durable goods and new home sales will give bulls courage that oil prices are legitimately discounting gains in future demand.