February 07, 2023 15:22 GMT
Diesel Markets Edge Up from Multi Month Lows
The diesel crack spreads in Europe, US and Asia have all seen a trend lower over the last few weeks although are seeing some support today..
- The US diesel crack yesterday reached the lowest since April at 40.5$/bbl and the European Gasoil-Brent spread was the lowest since March at 23.1$/bbl.
- Diesel refinery margins in Asia are near the lowest level since March with the Singapore 10ppm diesel spread to Dubai crude trading as low as 23.2$/bbl late yesterday. The spread was up at 41.3$/bbl on 23 Jan.
- The latest round of sanctions on Russian product flows comes into effect on 5 Feb but the decline suggests the market expects the ban to have minimal short-term impact on supply.
- Low demand and mild winter reducing the fuel consumption for heating and power generation has added to the downwards pressure on diesel prices.
- US gasoline crack down -0.1$/bbl at 25.39$/bbl
- US ULSD crack up 1.7$/bbl at 43.65$/bbl
- EU Gasoline-Brent up 0.8$/bbl at 12.92$/bbl
- EU Gasoil-Brent up 1.8$/bbl at 26.07$/bbl
- Singapore Gasoil-Dubai up 0.9$/bbl at 24.74$/bbl