The Energy Information Administration report highlights a tightening in crude supply that contrasts sharply with earlier industry estimates. While the EIA noted a drawdown, the American Petroleum Institute had previously suggested a significant build of 7.14 million barrels. Market reaction remained muted; Brent futures slipped to $107.36 per barrel, while WTI dropped to $103.80 during Thursday morning trading.

Refined product data points to a cooling sector. Gasoline inventories rose by 800,000 barrels, marking a second consecutive weekly increase. Middle distillates saw a larger build of 1.6 million barrels, though these stocks remain 13% below the five-year average. Overall demand, measured by total products supplied, averaged 20.5 million barrels per day over the last four weeks—a 0.6% decline compared to the same period last year. Gasoline and distillate demand both reflect this downward trend, with distillate consumption showing a 3.3% drop year-over-year.