U.S. Crude Oil Inventories Surge 10.2 Million Barrels, Exceeding Expectations

U.S. crude oil inventories rose by 10.2 million barrels in the week ended January 18, 2026, significantly surpassing expectations of a 2.5 million barrel increase, according to data from the Energy Information Administration (EIA). The sharp buildup contributed to downward pressure on benchmark West Texas Intermediate (WTI) futures, which fell 3.4% to settle at $78.12 per barrel on January 22. The inventory gain was driven by higher production and reduced refinery throughput, with crude output averaging 12.4 million barrels per day—up 80,000 barrels from the prior week. Strategic Petroleum Reserve stockpiles also increased by 1.1 million barrels amid government efforts to stabilize supply. Meanwhile, distillate inventories declined by 1.8 million barrels, and gasoline stocks dropped by 2.3 million barrels, reflecting seasonal demand patterns. The EIA reported that total commercial petroleum inventories climbed by 13.7 million barrels, the largest weekly rise since May 2025. Market analysts noted the data could signal a shift toward oversupply in the near term, especially as OPEC+ maintains output cuts.