US Home Sales Post Another Strong Jump in June, Oil Inventories Tumble

US crude Oil inventtories posted the biggest decline of the year for last week

Written by: Skerdian Meta • Thursday, July 30, 2020 • 1 min read

• Last updated: Thursday, July 30, 2020

The US economy contracted by more than a third in Q2 of this year, but it seems like it is bouncing back now. Home salwes posted another strong increase of 16.6% in June, after surging higher in May, as the country was reopening. Besides that, Oil inventories posted a major decline for last week, which shows that demand for energy is increasing and refineries increased the speed of the process.

Weekly US Oil Inventory Data

US weekly oil inventories -10611K vs +450K expected
Prior oil inventories were +4892K
Gasoline +654K vs -2000K expected
Distillates +503K vs +1000K exp
Refinery utilization +1.6% vs +0.5% exp
Production 11.1 mbpd vs 11.1 prior

API data from late yesterday:

Crude -6829K
Cushing +1144K
Gasoline +1083K
Distillates +187K

Oil prices rose about 15 cents on the headlines. That’s the largest draw of the year and it’s entirely due to a 10,462K draw at PADD 3, which is on the gulf coast. In terms of oil, one thing to watch is a potential tropical cycle in the mid-atlantic. It’s on a track that could hit the gulf and Florida.

US June 2020 Pending Home Sales

June pending home sales +16.6% m/m vs +15.0% expecteMay pending home sales was +44.3
Home sales YoY +12.7% vs +2.2% expected

That’s a great number and another sign that the US housing market is a hotspot in the recovery of the real economy.

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies
Open a FREE Trading Account

ABOUT THE AUTHOR See More

Skerdian Meta

Lead Analyst

Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.