Market lacks conviction, driven by headlines
December 3, 2025
The API inventory report yesterday said that crude oil supplies were up 2.48 million barrels, gasoline inventories were up 3.14 million barrels, and distillates were up 2.88 million barrels.
The average estimates for today’s DOE inventory update from the Bloomberg survey are for crude oil supplies to decrease 1.128 million, gasoline up 744,000, and distillates down 414,000.
The energy markets are stuck in uncertainty and have no conviction and are being led around in the near term by headline news. Yesterday, we had US officials in Russia meeting with Putin to discuss peace terms and the market took that as positive and sold off.
US propane supplies are estimated to be down 1.47 million barrels.
This morning’s ADP employment report indicated the private sector lost 32,000 jobs in November, which was worse than the 20,000 jobs gain anticipated by analysts. The October number was revised to a positive 47,000 jobs created, up from the 42,000 originally reported.