Just as U.S. crude oil stocks declined more than 3 million barrels this week, the Cushing oil hub in Oklahoma also recorded a slight decline in volume.
As of Nov. 4, 2022, Cushing maintained a volume of 27.2 million barrels of oil, down from the 28.2 million reported on Oct. 28. The latest volume is still slightly higher than the 26.9 million reported on Oct. 21 of this year according to the U.S. Energy Information Administration.
A year ago, Cushing’s crude oil volume was 26.4 million barrels.
Meanwhile, U.S. inventories of most petroleum product was low this week. The nation, as of Nov. 5, had 28 days of crude oil supply.
The Biden administration’s latest release of crude oil from the strategic petroleum reserve also continued to have implications on the market.
“Every week that goes by, the U.S. is drawing hydrocarbon inventories, and that leads to the question of where does the industry turn when there are no more supplies from strategic petroleum reserve releases,” said one oil company executive.