US crude, gasoline stocks hit record high: EIA

US crude oil and gasoline inventories rose to record highs in the week ended Feb. 10, as refineries reduced output and gasoline demand declined, the Energy Information Administration (EIA) said on Wednesday.

Commercial crude stocks increased by 9.5 million barrels from the previous week to 518.1 million barrels, while gasoline stocks rose by 2.8 million barrels to 259 million barrels, the data showed.

“US crude oil inventories are above the upper limit of the average range for this time of year,” the agency said.

Reports of high stockpiles weighed on oil prices Thursday, despite OPEC’s compliance with output cuts offering confidence. Global benchmark Brent crude was last flat at $55.75 per barrel (bbl), while West Texas Intermediate (WTI) slipped 0.1 percent to $53.05/bbl.

Meanwhile, American crude oil imports declined during the week, averaging 8.5 million barrels per day (bpd), down by 881,000 bpd from the previous week, the report said.

Crude refinery inputs also fell to an average of about 15.5 million bpd, 435,000 bpd less than the previous week’s average.

“Against the backdrop of lower OPEC supply and the reduction in non-OPEC production… the still-elevated US crude inventory position can be seen as a cause for concern,” J.P. Morgan said in a note earlier this week.

Four factors appear to be pressuring US crude inventories higher, the lender said: growth in Canadian output, likely understatement of US production in weekly data, strong growth in OPEC exports to the US, and a downturn in refinery throughput.

Of these, the first two factors are structural, while the other two are temporary, analysts at J.P. Morgan added.