Margins collapse

Crude prices continued to weaken on Wednesday despite the dollar edging lower, as the physical market’s weakness filtered through the futures’ market. Weak physical crude markets were combined with crashing diesel cracks, at the centre of refiners’ profitability. US petroleum stocks, reported by the EIA, showed a 3.6 mb build across crude and products. Sustained low refining runs continued to limit the demand side of the crude market. Gasoline shortages were resolved by a massive increase in imports, which will likely maintain cracks at elevated levels. 

Share this news :

You might also read :

July 26, 2021

Strong downward correction in Asian equities

Record-high level for US equities on Friday, but strong downward correction in Asia overnight, after Chinese authorities announced a broad set of reforms for private education…
March 18, 2021

European prices rebounded

Prices rebounded yesterday in most European gas markets, supported by higher heating demand due to below-normal temperatures and lower pipeline supply. Indeed, due to maintenance…
January 27, 2022

Jerome Powell changed everything

The Fed statement confirmed market expectations of a very likely rate hike in March and a process of reducing the size of the Fed’s balance sheet…
Join EnergyScan

Get more analysis and data with our Premium subscription

Ask for a free trial here

Subscribe to our newsletter

Don’t have an account yet?