Oil Products Summary at European Close: Diesel Slides

Diesel cracks have slipped back after a recent recovery and despite a draw in US stocks, as the market remains calm about prompt supply availability.

• US gasoline crack up 0.1$/bbl at 30.52$/bbl
• US ULSD crack down 0.6$/bbl at 28.73$/bbl
• ARA oil product stockpiles according to Insights Global: Inventory type, latest level, weekly change (all in thousand metric tons) as follows:
• Gasoline: 1,215, -32; Naphtha: 449, +12; Gasoil: 2,118, +12; Fuel Oil: 1,399, -112; Jet Fuel: 732, +24
• Western sanctions are making it hard for Russia to repair its damaged refineries after Ukrainian drone strikes: Reuters.
• Russian refiners reduced gasoline production in the last week of March by 12% versus the February average, while diesel production stood 3.5% below the February average, Rosstat data showed.
• Europe is looking relaxed about prompt diesel supplies despite disruption at Russian refineries affecting global volumes, Platts said.
• Diesel cracks have been softening globally despite a myriad of geopolitical events providing upside pressures, according to Platts.
• The naphtha crack spread in Northwest Europe has fallen to the lowest since November, according to Bloomberg amid higher imports and lower petrochemical demand.
• Air China operated its first round-trip flight from Beijing to New York on Sunday after China and the United States reached an agreement to increase the number of between each nation.