Gasoline and Diesel Cracks Edge Lower on Demand Concerns

Gasoline and diesel margins are edging lower today as demand concerns weigh on the wider market.

• Diesel crack spreads have drifted lower in the last two weeks but are holding just above the lows seen in late April. Gasoline crack spreads are also softer in the last week but are maintaining more strength that diesel and not far below the highs from March.
• Diesel crack spreads remain low with weak demand concerns and recent increasing refinery runs rates with gasoline seeing more support from an expected demand boost from the summer driving season and due to low inventories.
• Shipments of gasoline from Europe to the US fell to 168kbpd in the week to 25 May from a high 493kbpd the previous week. The US imports were the lowest since 6 April according to bills of lading and ship tracking data from Bloomberg.
  • US gasoline crack down -0.5$/bbl at 34.34$/bbl
  • US ULSD crack down -0.2$/bbl at 25.81$/bbl
  • EU Gasoline-Brent down -0.3$/bbl at 21.51$/bbl
  • EU Gasoil-Brent up 0$/bbl at 14.97$/bbl