U.S. oil demand falls for first time in six months in July – EIA

U.S. oil demand fell in July
on a year-over-year basis for the first time in six months, as
gasoline sales could not overcome weak distillate demand, the
U.S. Energy Information Administration said on Friday.

Total oil demand in July fell by 1.3 percent, or 267,000
barrels per day (bpd), from a year ago to 19.712 million bpd,
EIA data showed.

It was the first time oil demand fell year-over-year since
January and the fifth year-over-year decrease in the past 12
months, EIA data showed.

The demand growth was led once again by gasoline, which rose
by 1.7 percent, or 159,000 bpd, from a year ago to 9.597 million
bpd, according to the EIA’s petroleum supply monthly report.

Gasoline demand in June was the highest ever at 9.66 million
bpd, according to the EIA, which began tracking gasoline demand
in 1945.

U.S. gasoline demand is expected to be historic for this
summer’s driving season, which unofficially ended on Labor Day.
Despite steady demand, U.S. refiners are still battling weak
margins due to stubbornly high gasoline inventories.

The gasoline demand numbers were not strong enough to
overcome weak demand for distillates, which fell 7.7 percent
year-over-year in July, or 299,000 bpd, to 3.578 million bpd,
EIA data showed.

(Reporting By Jarrett Renshaw; Editing by Marguerita Choy)

The article U.S. oil demand falls for first time in six months in July - EIA was originally published at Reuters - US Energy.