Oil Products Summary at European Close: Cracks Fall

Diesel and Gasoline cracks have softened during the day, pulling back from some of yesterday’s gains. Rises in the four-week average implied demand for both gasoline and distillates in the EIA data yesterday had helped cracks to regain some ground.

• US gasoline crack down -0.1$/bbl at 28.92$/bbl
• US ULSD crack down -1.2$/bbl at 34.02$/bbl
• Oil product open interest continues to increase with ICE Gasoil futures open interest this week rising again to the highest since November 2021 and Nymex gasoline at the highest since February 2022.
• The US is set to have a second, smaller refinery maintenance period peak in April, following the spring maintenance which peaked in February, according to IIR Energy, cited by Bloomberg.
• The Al-Shamal refinery within the Baiji refining compound in northern Iraq has reopened after a 10-year halt, according to the office of the Iraqi PM, cited by Bloomberg.
• Iraq is planning to stop oil product imports from mid-2025 after it has reopened the Al-Shamal refinery within the Baiji refining compound in northern Iraq
• Pump prices are surging in the Midwest region after the shutdown of the US’ largest inland refinery, according to Bloomberg.
• China is set to increase its bonded jet fuel refuelling at international airports amid a rise in overseas flights in 2024, according to Platts.
• US REFINERY MAINTENANCE SCHEDULE: See PDF for the latest refinery maintenance update for the US: https://roar-assets-auto.rbl.ms/files/60102/MNI%20US%20Refinery%20Maintenance%20Schedule.pdf