API reports a rise in US crude stocks – Trading Economics

US crude oil inventories increased by 4.2 million bbls in the week ending 21 August, according to estimates from the American Petroleum Institute (API), as cited by Trading Economics.

IMAGE: An oil pump jack with the US flag in the background. Getty Images

The increase was “well above” market expectations for a 1.9 million-bbl build, Trading Economics reported.

A rise in US crude stocks typically indicates lower demand and puts some downward pressure on Brent's price.

The latest build follows a 328,000-bbl draw in the US crude inventories in the previous week, according to the API’s Weekly Statistical Bulletin, which monitors changes in US domestic crude supplies.

US commercial crude inventories excluding the Strategic Petroleum Reserve (SPR) have declined by over 45 million bbls over the past 19 weeks, according to the API.

The market is now awaiting official inventory data from the US Energy Information Administration (EIA), which is due to be released later today.

By Aparupa Mazumder

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