Oil Products Summary at European Close: Cracks Recover

Diesel and gasoline cracks reversed earlier losses during the European morning session to be trading higher, tracking the uptrend in crude oil. Cracks are finding some further support from upward revisions in OPEC’s oil demand forecast.

• US ULSD crack up 0.5$/bbl at 41.28$/bbl
• Gasoil DEC 23 up 1.4% at 824.75$/mt
• US gasoline crack up 0.2$/bbl at 15.79$/bbl
• RBOB DEC 23 up 1.1% at 2.26$/gal
• China's small independent refineries expect the government to raise the fuel oil import quota for 2023 by 3mn tons for non-state-owned companies to allow them to bring in more barrels as an alternative feedstock for the remainder of the year, sources told S&P Global Commodity Insights.
• ExxonMobil’s 619,024 bpd Beaumont refinery, Texas has returned to normal operations Monday following a power issue on Friday according to Reuters reports
• “With only diesel holding the refinery margin in Europe, refinery run cuts might become a discussion point for the first time since the Russian invasion,” according to a report by Oilytics.
• Global passenger jet fuel demand is set to gall by 1.4% in the week to Nov. 20 to 6m b/d, according to BNEF.
• Major US airlines and TSA expect record air travel for the Thanksgiving holiday period.
• A sailing ban on part of the Rhine may be brought in amid high water levels, according to Riverlake and reported by Bloomberg.