USA Crude Oil Inventories Build Of 1.338M Vs Draw Of 675K Est.; Draw Of 5.503M Prior
Portfolio Pulse from Benzinga Newsdesk
USA crude oil inventories saw an unexpected build of 1.338 million barrels compared to the estimated draw of 675,000 barrels. This contrasts with the prior week's draw of 5.503 million barrels.
January 10, 2024 | 3:30 pm
News sentiment analysis
Sort by:
Ascending
NEGATIVE IMPACT
The unexpected build in crude oil inventories may lead to a negative sentiment in the broader market, potentially impacting SPY as it represents a cross-section of the market.
SPY, which tracks the S&P 500, could be indirectly affected as energy sector stocks react to the news of the inventory build, and broader market sentiment may be influenced by expectations of economic performance and inflation.
CONFIDENCE 75
IMPORTANCE 60
RELEVANCE 50
NEGATIVE IMPACT
The build in crude oil inventories is a direct indicator for USO, which tracks the price of oil, and could lead to a decrease in oil prices and USO's value in the short term.
USO is directly tied to the performance of oil prices. An unexpected increase in inventories typically suggests lower demand or higher supply than anticipated, which can lead to lower oil prices and negatively impact USO.
CONFIDENCE 85
IMPORTANCE 80
RELEVANCE 90