|Summary of Weekly Petroleum Data for the week ending August 23, 2019 ......................................................................................|
U.S. crude oil refinery inputs averaged 17.4 million barrels per day during the week ending August 23, 2019, which was 295,000 barrels per day less than the previous week’s average. Refineries operated at 95.2% of their operable capacity last week. Gasoline production increased last week, averaging 10.7 million barrels per day. Distillate fuel production decreased last week, averaging 5.2 million barrels per day.
U.S. crude oil imports averaged 5.9 million barrels per day last week, down by 1,290,000 barrels per day from the previous week. Over the past four weeks, crude oil imports averaged about 7.0 million barrels per day, 12.3% less than the same four-week period last year. Total motor gasoline imports (including both finished gasoline and gasoline blending components) last week averaged 965,000 barrels per day, and distillate fuel imports averaged 125,000 barrels per day.
U.S. commercial crude oil inventories (excluding those in the Strategic Petroleum Reserve) decreased by 10.0 million barrels from the previous week. At 427.8 million barrels, U.S. crude oil inventories are at the five year average for this time of year. Total motor gasoline inventories decreased by 2.1 million barrels last week and are about 3% above the five year average for this time of year. Finished gasoline inventories increased while blending components inventories decreased last week. Distillate fuel inventories decreased by 2.1 million barrels last week and are about 4% below the five year average for this time of year. Propane/propylene inventories increased by 3.7 million barrels last week and are about 14% above the five year average for this time of year. Total commercial petroleum inventories decreased last week by 11.2 million barrels last week.
Total products supplied over the last four-week period averaged 21.7 million barrels per day, up by 2.3% from the same period last year. Over the past four weeks, motor gasoline product supplied averaged 9.8 million barrels per day, up by 2.4% from the same period last year. Distillate fuel product supplied averaged 3.9 million barrels per day over the past four weeks, down by 5.5% from the same period last year. Jet fuel product supplied was down 1.2% compared with the same four-week period last year.
Black Blade (a.k.a. "Dennis Erectus"):
This week's EIA Petroleum Inventory Status Report is MODERATELY TO SIGNIFICANTLY BULLISH as Crude and refined product Inventories decreased with refinery utilization falling to just over 95%. Mush of foreign oil has been diverted to China and therefore we see falling imports to US markets. We also see Iranian oil flowing into China despite the sanctions. Meanwhile, OPEC and Russian production cuts appear to be slowing taking hold although having a minimal effect overall.
As for the "Blade Portfolio" this week we continue to add APTS, NRZ, USAC and ET to the portfolio this week for income. We also continue to add physical American Silver Eagles with our "dollar-cost-averaging" strategy. We also continue to add to our eREIT sector through Crowd Funding ventures FUNDRISE and RICH UNCLES. Not much has changed in the portfolio although we are slowly accumulating income producing shares while bargains appear thanks to falling interest rates and now an inverted yield curve between the 2 and 10 year Treasuries. Who knows, we may even eventually see falling housing prices and be able to accumulate more reasonably priced real estate.
As always, get out of debt and stay out of debt, accumulate physical Silver and Gold bullion as "portfolio insurance", and stockpile supplies of long term nonperishable foods and basic necessities into storage. After all we do "live in interesting times".