China crude oil stocks fall to lowest in more than seven years

China's crude oil inventories fell by a record 9.5 percent from September to 26.96 million tonnes last month, Xinhua data showed, the lowest since January 2010, reflecting growing demand from refiners. Crude oil processing runs in October were the second highest on record as refining margins jumped after China's state planner hiked prices for gasoline and diesel at the pump.
The month-on-month decline in China's commercial crude stocks was the largest ever, the official Xinhua news agency said on Monday. Refined oil inventory increased 3.3 percent led by diesel stocks. Diesel stockpiles rose 5.3 percent to 6.95 million tonnes while gasoline inventory increased 2.5 percent to 7.91 million tonnes.
Prices of diesel and gasoline in China have surged since late October due to robust winter demand. Wholesale diesel prices have jumped 11 percent since October to 6,700 yuan ($1,011) per tonne last week in eastern Shandong province.
Xinhua did not provide the actual inventory volumes. The government rarely discloses levels of either commercial or strategic oil stocks, making it difficult to gauge real demand in the world's second-largest oil consumer.