Oil Products End of Day Summary: Cracks Rise

Diesel and gasoline cracks are approaching US close trading higher on the day. Gasoline cracks are supported by a recent recovery in US demand, while diesel is finding some support from below-average inventories.

• US gasoline crack up 0.4$/bbl at 17.26$/bbl
• US ULSD crack up 0.9$/bbl at 35.46$/bbl
• US Atlantic Coast diesel inventories remained well below seasonal norms in 2023 for a second consecutive year according to Argus.
• Arrivals of European gasoline into the USA rose to a three-month high in the seven days to Dec. 28, according to Bloomberg.
• Diesel and gasoline sales reported by the top-three Indian state refiners Indian Oil, Bharat Petroleum and Hindustan Petroleum who own 90% of retail fuel outlets fell in December, according to Bloomberg based on company data.
• Global passenger jet fuel demand is set to rise in the first week of 2024, according to BNEF.
• Russian average daily refinery runs stood at 5.543mbpd during 1-27 December, a person with knowledge of the matter said, little changed from a similar period in November as Black Sea storms hindered refineries to raise crude processing rates as planned.
• Diesel and gasoil imports into Germany’s coastal ports rose to a seven-month high in December, according to Argus, as elevated Rhine water levels curtailed inland shipments from the ARA.