US propane inventory builds lighter than average
May 29, 2018 By Mark Rachal and Dale Delay
U.S. propane inventory increased very lightly last week. Find out why.
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U.S. propane inventory increased very lightly last week. Find out why.
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Propane has certainly been bullish in the last 10 days.
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U.S. propane production is much higher than domestic propane demand, leaving propane exports to play the role of balancing U.S. supply with demand.
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Propane prices saw a significant change in April. Get more details on this shift.
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This year, domestic demand has remained high due to a long winter heating season, when compared to recent winters.
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Last Wednesday the EIA reported that U.S. propane inventory stood at 35.872 million barrels for the week ending April 13.
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The U.S. Energy Information Administration reported U.S. domestic demand for propane at 1.496 million barrels per day (bpd) for the week ending April 6.
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Propane’s relative value to West Texas Intermediate crude is already slightly below the low end of the range we expected for this summer.
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Change has been in the works for several years now as the U.S. propane market has become a net exporter of propane.
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Last week, the U.S. Energy Information Administration reported U.S. propane inventory had fallen to 36.759 million barrels for the week ending March 16.
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