Gasoline Cracks Gain Ground After EIA Stock Data

Crude futures and spreads are holding onto earlier gains after the latest EIA dta showed a larger than expected crude build and another drop in refinery utilisation. Gasoline cracks are rallying with a pick up in demand but diesel remain down on the day.

• EIA data showed a larger than expected crude stock build but not as much as the API data last night. Inventories built due to another fall in refinery utilisation and steady production and despite a rebound in exports. Cushing stocks rose for the eighth consecutive week to the highest since June 2021.
• The drop in refinery utilisation due to the ongoing refinery maintenance season led to a draw in gasoline aided by slightly lower exports and a recovery in implied demand.
• Distillate four week implied demand however remains subdued and below the five year average. A recovery in distillate imports helped the distillate build.
  • Brent APR 23 up 1.9% at 82.1$/bbl
  • WTI APR 23 up 2% at 75.42$/bbl
  • WTI-Brent down -0.1$/bbl at -6.68$/bbl
  • WTI APR 23-MAY 23 up 0.04$/bbl at -0.2$/bbl
  • WTI JUN 23-DEC 23 up 0.28$/bbl at 1.85$/bbl
  • US gasoline crack up 1$/bbl at 33.82$/bbl
  • US ULSD crack down -0.9$/bbl at 38.16$/bbl