Oil futures pare losses as EIA reports weekly declines in U.S. crude and gasoline supplies

The Energy Information Administration reported Wednesday that U.S. crude inventories fell by 1.7 million barrels for the week ended May 21. On average, analysts polled by S&P Global Platts forecast a decline of 2.2 million barrels for crude stocks, while the American Petroleum Institute on Tuesday reported a 439,000-barrel decline, according to sources. The EIA reported that gasoline supply also declined by 1.7 million barrels, while distillate stockpiles fell by 3 million barrels for the week. The S&P Global Platts survey had expected weekly supply declines of 700,000 barrels for gasoline and 1.6 million barrels for distillates. The EIA data also showed crude stocks at the Cushing, Okla., storage hub edged down by 1 million barrels for the week. Oil prices pared some of their early declines after the data, with July West Texas Intermediate crude down 26 cents, or 0.4%, at $65.81 a barrel on the New York Mercantile Exchange. Prices were trading at $65.59 before the supply data.

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