UPDATE 1-Surprise draws in US crude, gasoline stocks - EIA

(Adds table; recasts text, adding details and updating with analysts'
comments, market reaction)

------ API ------ ------ EIA ------

Stocks Change Change Stocks Change Change

10/30/09 from from 10/30/09 from from

pvs wk yr-ago pvs wk yr-ago
Crude 336.2 -3.3 26.9 335.9 -4.0 23.8
Distillate 168.1 1.8 41.6 167.4 -0.4 39.8
Gasoline 210.1 0.5 14.9 208.3 -0.3 13.6
Heating oil 51.6 0.1 12.4 50.6 -1.1 10.3
RFG gasoline 0.8 -0.1 -0.4 0.6 -0.1 -0.6
Kerosene 42.8 -1.4 6.0 45.2 -0.7 6.8
Crude runs (bpd) 14.0 -0.2 -0.8 14.0 -0.2 -0.6
Refinery runs

(percent) 80.5 -1.3 -5.9 80.6 -1.2 -4.7
Products supplied

(4-week average)-----------------------18.8 0.1 -0.3

By Haitham Haddadin

NEW YORK, Nov 4 (Reuters) - U.S. crude oil inventories posted a surprise
sharp drop last week as imports decreased, according to weekly U.S. Energy
Information Administration (EIA) data issued on Wednesday.

Commercial crude oil stocks in the United States fell by 4 million barrels
to 335.9 million barrels in the week to Oct. 30, surprising analysts who, on
average, had expected them to post a rise of 1.4 million barrels.

Crude imports fell by 764,000 barrels per day (bpd) at 8.13 million bpd.

In its own weekly data on Tuesday, the American Petroleum Institute (API),
a trade group, said domestic crude oil inventories fell 3.3 million barrels
last week as imports dropped. [API/S]

U.S. December crude futures CLZ9 were up $1.16, or 1.46 percent, at
$80.76 per barrel, leading NYMEX energy complex gains after the EIA data.

"The crude number is getting the most attention. Imports dropped and
cargoes are being held offshore that aren't coming to the Gulf Coast region
given the lack of refinery demand," said Jim Ritterbusch, President of
Ritterbusch & Associates in Galena, Illinois.

"The product numbers I thought were bearish. Both gasoline and distillates
drew slightly. I thought we would see a much larger distillate draw," he said.

Gasoline inventories fell 300,000 barrels to 208.3 million barrels, EIA
reported, versus forecasts of a small 300,000-barrel build.

Stocks of distillates, which include diesel and heating oil, were off
400,000 barrels to 167.4 million barrels, lagging forecasts of a 1
million-barrel decline.

U.S. weekly heating oil stocks were off 1.1 million barrels to 50.6
million, the EIA report added.

Refinery demand for crude oil, known as "crude runs," dropped by 233,000
bpd to 13.97 million bpd as refinery utilization fell 1.2 percentage point to
80.6 percent of capacity, counter to expectations of a 0.1 percentage point
rise.

"The crude drop has boosted the market, but the report can't be seen as too
bullish. The fact is refinery rates dropped more than a percent and we still
didn't see a major drop in product inventories," said Gene McGillian, analyst
at Tradition Energy in Stamford, Connecticut.

"Refiners don't see the need to push through more crude, because demand
hasn't been recovering at the pace that some expected," he added.

U.S. total oil product demand over the past 4 weeks came in at 18.82
million bpd, down 4.5 percent from a year ago, EIA added.

In its own report on Tuesday API drew a more bearish picture for refined
fuels, saying U.S. gasoline and distillates stocks were up 501,000 barrels and
1.8 million barrels, respectively.
(Reporting by Haitham Haddadin with additional reporting by Janet McGurty,
Joshua Schneyer and Gene Ramos; New York Energy Desk; Editing by David
Gregorio)