Yesterday, crude prices were up. They were supported by actions taken by the US Federal Reserve to bolster the economy and the hopes for a coronavirus aid package from congress.
In the early hours of Wednesday morning the White House and Senate reached a historic $2 trillion stimulus deal amid growing coronavirus fears. The over $2 Trillion-dollar package will provide a jolt to the struggling economy. Details of the package have been agreed to and include $250 billion set aside for direct payments to individuals and families, $350 billion in small business loans, $250 billion in unemployment insurance benefits and $500 billion in loans for distressed companies. A vote on these measures will happen later today and is expected to pass.
The API’s data last night:
API numbers showed a surprising draw in both products and crude. The API reported a surprise draw for crude of 1.2 MMbbls versus an expected build of 2.8 MMbbls. The API reported that gasoline had a larger-than-expected draw and distillates had a draw in line with estimates. The EIA will report numbers later this morning.
Crude prices are down this morning. WTI Crude is trading at $23.44, a loss of 57 cents.
Fuel is mixed in early trading this morning. Diesel is trading at $1.0761, a loss of 0.4 cents. Gasoline is trading at $0.4685, a loss of 2.5 cents.