I wonder if the announcement of a withdrawal from the SPR is immediately discounted in the oil futures market or if it makes sense to be short (or less long, depending on other indicators) during the withdrawal period. Conversely, is the end of withdrawals a bullish signal? One could do a study of past SPR withdrawals.

Here’s One Reason Why You’re Paying Less at the Pump

By Ryan Dezember

Wall Street Journal

Aug 31, 2022

The U.S. has drained about 130 million barrels of crude oil from the Strategic Petroleum Reserve since late February when Russia invaded Ukraine and sent fuel prices surging.

The government’s oil stash, kept in underground caverns along the Gulf Coast, has been tapped to help keep domestic fuel prices in check and ended last week at its lowest level since late 1984, according to the Energy Information Administration.

The market support, which is set to end next month, has helped push down West Texas Intermediate to about $91 a barrel, down from more than $120 in March.