EIA Crude Oil Inventories Fell by 994,000 Barrels, Exceeding Market Expectations
The U.S. Energy Information Administration (EIA) announced that crude oil inventories fell by 994,000 barrels last week, slightly higher than the market’s expected decrease of 500,000 barrels. During the period, gasoline inventories surged by 4.466 million barrels, while distillate inventories decreased by 9,000 barrels. The data may reflect the optimism of market participants to the recover from the COVID-19 pandemic and the increase in fuel demand during winter, propelling the crude oil to continue its uptrend and reaching over 1-year highs.
The President of Italy Announces the Formation of a New Cabinet
Italian President Mattarella announced that it will appoint former European Central Bank President Mario Draghi to form a new cabinet in place of the formerly resigned Prime Minister Conte, as to avoid an early election and affect the current policies against the COVID-19 pandemic. Draghi will require a majority support from the Congress in order to become the new Prime Minister. The Italian stock and bond markets, however, have gained amid this news, which may reflect that the market participants may have priced in a potentially successful vote of confidence for Draghi, whom has a solid financial background.