Issues with Gasoline and Heating Oil Inventories Continue
The US still has issues with inventories of gasoline and heating oil (CNNMoney.com). With a petroleum demand of 21 mb/d (million barrels per day) and a refining capacity of about 17.5 mb/d inventories are critical in the supply pipeline to the consumer.
U.S. heating oil led the gains after a steep fall in supplies over the week left stocks well below year ago levels. Gasoline stocks, keenly watched because of peak summer, were flat. Analysts had expected a sixth consecutive build.
"Seasonal oil product inventory building was already slow in May. It ground to a virtual halt the first week of June," UBS analyst Jan Stuart said in a report, noting total fuel stocks against oil demand stood 4 percent below the five-year average.
If you have an interest in energy related issues read the interview with T. Boone Pickens. User of one of my favorite expressions when people think you naive or unsophisticated, “I didn’t exactly ride into town on a load of water melons”. This "good-ole boy" from Oklahoma has done well for himself and has some good insights on how to succeed in the oil and gas industry.