Volatile Crude Trading Lower on the Week

A volatile day of trading yesterday saw oil as low as 115.82$/bbl and as high as 120.18$/bbl.

• Brent AUG 22 down -0.3% at 119.43$/bbl
• WTI JUL 22 down -0.4% at 117.14$/bbl
• Gasoil JUL 22 up 2.1% at 1327$/mt
• WTI-Brent down -0.16$/bbl at -4.65$/bbl
• The impact of inflation and central bank tightening is weighing on potential demand and crude prices. But supply issues have not gone away so uncertainty on both sides remains high.
• Refined oil products continue to trade near record high levels although stayed relatively stable yesterday. Gasoline prices have drifted off slightly during the week, but diesel has been setting new record highs. The extra strength in diesel is driven by especially low stock levels at 22.5% below the 5-year average compared to gasoline at 10.7% below.
• US 321 crack up 1.9% at 56.62$/bbl
• US gasoline crack up 2.7% at 47.383$/bbl
• US ULSD crack up 0.7% at 75.094$/bbl
• US are looking at ways to ease the high gasoline and diesel prices with a potential limit on gasoline exports being considered. They said on Wednesday they would use all reasonable and appropriate tools to increase refining capacity and output.
• The oil curves remain steeply backwaradated, however spreads have retreated slightly during the week following crude prices lower on the economic growth concerns.
• Brent AUG 22-SEP 22 up 0.05$/bbl at 2.86$/bbl
• Brent DEC 22-DEC 23 up 0.05$/bbl at 14.21$/bbl