Daily Energy Report
India oil inventories are rising, Strong LNG demand, Panama Canal, Biden’s green inflation, Gas volatility, US gasoline price drop, Libya rejects tanker, Energy reality in Canada, and more.
Chart of the Day: India’s Oil Inventories are Rising
Figure (1) above shows India’s weekly oil inventories in 2023. It documents that inventories have been rising in recent weeks. The data in panels A and B are the same. A is presented for clarity. B is presented for perspective.
EOA’s Main Takeaway
What happened in India happened in China: oil imports increased while consumption slowed down, refinery utilization declined, and exports declined. The result was increasing inventories. As we showed in yesterday’s reports, global inventories increased. Most of the increase happened in the US, Japan, China, and India. This development contributed to the decline in oil prices in recent weeks.
Yesterday we posted a short note on teh topic: India and the Oil Market: It is Not That Bullish Either