US Crude Stocks Fall Contrary to Expectations, Diesel Inventories at Lowest Since 2003

The news headline is not directly related to GOOGL; the decline in oil and diesel inventories mainly affects the energy sector and overall macro risk appetite. GOOGL's technical picture is mixed: the price is above the 20-day SMA and has risen 3.4% in 24 hours, with RSI at 54 in neutral territory, but MACD is still negative and the price is below the 50-day SMA. In the short term, the news's impact on the stock may be limited and indirect; a marginal effect is expected through energy costs. Therefore, the direction is uncertain, and a cautious neutral stance is appropriate.

Brent crude fell sharply by more than 8% over the past 24 hours to 94.9, with its RSI at 18.5 placing it in oversold territory. The price is clearly below both the SMA20 and SMA50, while MACD is in negative territory and below its signal line, indicating weak short-term momentum. However, an unexpected decline in US crude oil inventories and diesel stocks falling to their lowest level since 2003 point to supply tightness and could ease downward pressure. Combined with oversold conditions, this news may support a technical rebound. Nevertheless, as the strong trend remains intact, any bullish signal should be viewed with caution and limited confidence.

XOM fell sharply by more than 9% over the past 24 hours, pushing its RSI14 to 23.8 and into oversold territory, while the price dropped well below its SMA20/SMA50. The unexpected decline in oil inventories and diesel stocks at their lowest level since 2003 represent a short-term positive catalyst for XOM through crude oil and refining margins. However, MACD remains negative and below its signal line, indicating that the downward momentum has not yet fully reversed. A 1-3 day rebound is possible given oversold conditions and favorable inventory data, but I am keeping confidence at a moderate level because macroeconomic pressure and the weak technical structure may limit the upside.

CVX fell 8% in the last 24 hours, entering an oversold region; the RSI sits at the 20 level and the price is well below the SMA20/SMA50. Contrary to expectations, oil inventories have declined and diesel inventories have fallen to their lowest level since 2003, supporting crude and refined product prices and potentially creating a short‑term positive catalyst for integrated oil companies. However, the MACD is negative and trading below the signal line, indicating that the downward momentum has not yet fully reversed. Consequently, a recovery limited to reactionary buying appears likely, and confirmation is needed for a strong trend reversal. I expect a mild upward trend in the short term.