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Diesel Crack Follow Crude Lower on Economic Concerns

OIL PRODUCTS

Diesel crack spreads are following crude and falling back today after edging higher yesterday. Weaker crude is pressured by the stronger US dollar.

  • EIA weekly petroleum data yesterday showed a small distillate stock build on the back of a fall in implied demand and despite ongoing strong exports.
  • French imports of diesel are expected to fall in Nov and Dec with the return of refinery output after worker strikes and with lower heating oil demand according to FGE earlier this week. They report October demand the lowest for the month since 2015 at 88kbpd due to warm weather and high retail prices.
    • Brent JAN 23 down -1.2% at 91.7$/bbl
    • WTI DEC 22 down -2.2% at 83.73$/bbl
    • US gasoline crack up 0.9$/bbl at 20.61$/bbl
    • US ULSD crack down -1.9$/bbl at 65$/bbl
    • EU Gasoline-Brent up 0.4$/bbl at 4.02$/bbl
    • EU Gasoil-Brent down -1.3$/bbl at 37.02$/bbl

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