Mid-Day Oil Products Summary at European Close: Cracks Divergent

US gasoline and diesel crack spreads have taken divergent directions. Prices had found some support yesterday on larger than expected draws in product stocks and slight increases in implied demand.

• US gasoline crack up 0.6$/bbl at 21.07$/bbl
• US ULSD crack down 0.1$/bbl at 22.16$/bbl
• ARA oil product stockpiles according to Insights Global:
• Inventory type, latest level, weekly change (all in thousand metric tons) as follows:
• Gasoline: 995, -12 ;Naphtha: 417, +13; Gasoil: 2,274; +203, Fuel Oil; 1,368, +6; Jet Fuel: 911, +29
• USGC diesel flows to Europe are on track to hit a new record monthly high in Aug, exceeding those in July, Platts said.
• Chevron’s 245,271 bpd Richmond, California refinery reported a plant upset due to equipment failure according to an alert from the California Emergency Management Agency.
• Russia’s seaborne oil product exports to Asia via the Cape of Good Hope nearly doubled m/m in July to 1.1 million metric tons according to LSEG.
• Iraq’s ambitions to expand its refining capacity and shift to exports of higher value products is closer to realisation with two more refineries planned, Platts said.
• Chinese refiners processed 59.06 million metric tons of crude oil in July, equivalent to 13.91mn bpd – the lowest since October 2022 according to NBS data.
• Singapore’s onshore fuel oil stockpiles fell to five-week lows despite higher imports, according to Enterprise data on Thursday.
• China’s road traffic levels have registered the fourth consecutive weekly drop, according to BNEF.