Crude Oil Market Update The EIA reported another large draw of crude oil for a total of 9.3m barrels for the week ending on the 26th of June, of which 5.5m barrels are SPR, confirming the US continues to hemorrhage crude oil inventory while crude oil prices continue to go down. The mainstream narrative, heavily influenced by messaging coming unilaterally from the US government, continues claiming that crude oil is now flowing out of the Strait of Hormuz. So far, we don't see any meaningful drop in US exports whatsoever, though, which remains elevated at almost double the pre-war level. The most important piece of information in this report was the confirmation that Cushing inventories are now at tank bottoms. As you can observe in the last table, crude oil inventory draws were reported in all PADDs, including the Midwest, while Cushing was the ONLY build. Clearly, crude oil was shifted into Cushing to keep it operational. Now the big question is how long can this continue before all other storage tanks hit the bottom too? Considering the 3-2-1 spread just hit another record on Wednesday, in both the US and Europe, the market is signalling that threshold isn't that far