China Boosts Oil Inventories With Jump in Crude Imports

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China Boosts Oil Inventories With Jump in Crude Imports
Crude Oil ImportsStockpilesOil Prices
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China's crude oil imports soared in November, but much of the increase may have been used to build stockpiles rather than meet immediate refining needs.

China ’s crude oil imports soared in November, but most of the increase in purchases likely went to boosting stockpiles, data compiled by Reuters columnist Clyde Russell showed on Monday. Last month, crude oil imports to China rose for the first time in seven months as lower prices stimulated stronger demand. The average daily import rate in November stood at 11.81 million barrels, according to customs data from China . The total for the month came in at 48.52 million tons of crude, which was 14.

This will probably add fuel to trader pessimism about future demand even as China doubles down on stimulus to accelerate its economic growth. In November, the Chinese crude oil imports, likely incentivized by lower oil prices when cargoes were nominated, added to a surplus of crude available in the country, as refining activity did not rebound in lockstep with imports. China’s excess crude oil supply averaged about 1.

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