Oil Products Summary at European Close: Gasoline Cracks Up

US gasoline cracks are edging up slightly from the lowest since 2020 at 7.1$/bbl with recent GasBuddy data suggesting some demand support amid falling pump prices.

• US gasoline crack up 0.6$/bbl at 8.04$/bbl
• US ULSD crack down -0.4$/bbl at 46.79$/bbl
• China's independent refineries may be required to source alternative feedstocks amid growing expectations that the country may not issue additional crude import quotas towards the end of the year, which could boost import demand for fuel oil, bitumen blend and other heavy oils, sources told S&P Commodity Insights.
• Overall refinery margins are expected to remain healthy due to strong middle distillates, such as gasoil and jet fuel and despite falling gasoline and high-sulfur fuel oil cracks according to FGE.
• Diesel sales by India’s state-run refiners increased by 9.6% on the month to 299.9k barrels in the first 15 days of October data from officials familiar with the matter showed.
• Global airline capacity has fallen by 1.1m seats, or 1% in the week commencing Oct. 16, according to OAG data
• Galp says the ‘flare-up at its Sines refinery in Portugal was put out in less than one minute.
• The total clean tanker ton-miles for MR vessels travelling between Asia and the Middle East increased in September to 56bn driven by an increase in long-haul voyages to Australia, Mexico and South Africa according to Kpler.
• German diesel import demand has risen this month due to refinery outages, while the conflict in the Middle East led to a recent peak in traded heating oil spot volumes according to Argusmedia