Crude Holds Gains After Biggest Inventory Draw In 6 Months Offset By Major Build At Cushing

API's reported huge 3.6mm drawdown in total crude inventories (against expectations of a 2.33mm build) was just the catalyst to send crude prices soaring overnight and DOE just confirmed it with a massive 5.88mm draw - the largest in over 6 months. However, initial exuberance was tempered as Cushing saw a 2.045mm build - its 7th week in a row. And finally, crude production rose for the second week in a row.

Huge drawdown overall...

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But Cushing continues to get more full...

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Production rose for the 2nd week. Demand is down 0.8% YoY.

For now Crude is holding gains...

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but is having trouble breaking above FOMC highs...

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Charts: Bloomberg