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Gasoline Cracks Steady After Recent Strength

OIL PRODUCTS

Gasoline cracks are steady today after trading to the highest since August on Friday. The US crack spread rallied from around 32$/bbl on 24 Feb up to nearly 36$/bbl late last week.

  • Prices have been supported by a gradual rebound in US demand this year. GasBuddy data showed a slight decline this week but is up from 7.54mbpd in late December to 8.37mbpd while EIA weekly data shows demand up from 7.8mbpd in Jan to 8.68mbpd last week.
  • A strong US refinery maintenance season due to outages delayed from last year is adding to the price support as gasoline inventories have edged lower in recent weeks.
  • Loadings of clean fuels from Asia to the Americas for March rose 150k tons from the previous week to 305k tons according to Bloomberg data.
    • US 321 crack down -0.6$/bbl at 37.35$/bbl
    • US gasoline crack down -0.4$/bbl at 35.45$/bbl
    • US ULSD crack down -1$/bbl at 41.15$/bbl
    • EU Gasoline-Brent down -0.4$/bbl at 17.94$/bbl
    • EU Gasoil-Brent down -1$/bbl at 25.21$/bbl

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