Oil Products End of Day Summary: Diesel Cracks Rise

Diesel cracks and gasoil time spreads are seeing support today with US and European front month spreads regaining the small losses seen earlier this week. Low global inventories are supporting spreads with supplies tight ahead of the winter season.

• Gasoil SEP 23 up 2% at 900$/mt
• WTI SEP 23-OCT 23 up 0.11$/bbl at 0.47$/bbl
• WTI DEC 23-DEC 24 up 0.41$/bbl at 4.6$/bbl
• US ULSD crack up 1$/bbl at 48.69$/bbl
• EU Gasoil-Brent up 1$/bbl at 34.3$/bbl
• EIA weekly petroleum data yesterday showed a drop in distillates output and a small increase in total US stocks doing little to boost the low inventories levels. Distillates implied demand was lower on the week but the four week average was little changed. The data showed US distillate stocks nearly 16.7% below the five year average.
• ARA stocks according to Insights global: Gasoline: 1,451, +131; Naphtha: 256, -14; Gasoil: 2,058, -4; Fuel Oil: 1,280, +41; Jet Fuel: 714, +2;
• Singapore Middle Distillates inventories saw the first increase in five weeks but are still 29% below the five year average. European ARA Gasoil stocks were last week 11.5% below normal with the updated data due out later today.
• Nymex gasoline open interest has climbed to the highest since February 2022 after steady gains since early May.
• Brazil is set to import record amounts of Russian oil products in August, as Russia becomes its top supplier, according to Kpler.
• The CDU capacity utilizations of China's refineries hit a two-year high in early August with an average of 73.65% according to OilChem.