Oil and Gas Today with Chris Faulkner – Podcast #487

U.S. crude rose this week after government data showed a sharp drop in gasoline stocks that outweighed a build in overall crude stocks, while Brent was buttressed by the loss of most supply from Libya and geopolitical risk in Ukraine.

Crude stockpiles rose overall by 1.7 million barrels, but a strong start to the summer driving season drained gasoline inventories by 1.8 million barrels, more than forecast, the Energy Information Administration reported.

The brighter demand outlook underpinned prices already boosted by concerns about Libyan supply and tensions between the West and Russia, the world’s second-largest oil exporter.

I would continue to watch the situation in Ukraine, where pro-Russian separatists shot down an army helicopter on Thursday, as government forces pressed ahead with an offensive to crush rebellions in the east following the election of a new president.

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