The Strategic Petroleum Reserve shed another 5.5 million barrels during the reporting period, pushing total holdings down to 325.7 million barrels. This figure sits below the 2023 lows recorded during previous federal drawdowns and leaves the reserve 399 million barrels shy of its maximum capacity. Despite these aggressive withdrawals, total US crude inventories are only down 8 million barrels for the year, as commercial stockpiles have struggled to keep pace with historical demand trends.

Market signals remain mixed as supply logistics fluctuate. While production reached 13.819 million barrels per day according to the latest EIA data, price action reflects ongoing uncertainty. Brent crude retreated to $73.40, while WTI slipped to $70.06 as flows through the Strait of Hormuz began a partial recovery. Gasoline inventories tightened further with a 2.106 million barrel decline, deepening the deficit against the five-year average. Conversely, distillate stocks climbed by 2.9 million barrels, and the Cushing delivery hub saw a modest build of 503,000 barrels, providing a minor reprieve for WTI futures liquidity.