U.S. Crude Stocks Jump 16 Million Barrels; OPEC+ Weighs 137k BPD Increase
U.S. crude oil inventories rose by 16 million barrels last week, marking the largest weekly increase in three years as imports climbed, exports fell and refinery utilization dipped. OPEC+ is set to consider a 137,000 bpd output increase for April, potentially easing supply constraints ahead of peak summer demand.
1. Largest Weekly Crude Build in Three Years
U.S. crude oil stocks climbed by 16 million barrels over the past week, the biggest increase observed in three years. The surge was driven by higher imports, reduced exports and lower refinery processing rates, indicating near-term supply gluts in storage facilities.
2. OPEC+ Considers 137,000 bpd April Output Increase
OPEC+ ministers are preparing to discuss a 137,000 barrels-per-day output boost for April, which would break a three-month standstill in production. The proposed increase aims to address anticipated peak summer demand and could counterbalance recent inventory accelerations.
3. War Premium and Awaited EIA Data
Despite bearish signals from a large reported inventory build, geopolitical risk premiums related to Middle East tensions have kept crude prices supported. Traders are now awaiting the official EIA inventory report for confirmation of market balances and future price direction.