Rally in diesel markets

The rally in the diesel market is finally materializing as European distillate cracks rose strongly this week, reaching 14 $/b for ICE Gasoil cracks – despite a timid rise in ARA distillate stocks – mimicking Asian distillate markets, as Singapore stocks hit new lows yesterday, down by 1 mb w/w. This need to resupply the Asian and European diesel markets sparked a rally in physical crude prices amid improving margins. Sokol, a distillate rich crude delivered to Asia, rallied above 5$ above Dubai. North Sea crude differentials to Dated brent are rallying strongly, even for Forties crude, a heavier stream. ICE Brent contracts for March delivery are now hovering around 85 $/b. Finally, Heating oil markets in the US are also hitting yearly highs, with the Heating oil crack (against WTI) hitting 28 $/b.

Share this news :

You might also read :

ES-oil
March 15, 2021

Chinese runs surprise to the upside

ICE Brent prompt contract was trading at 69.7 $/b on Monday as most Texan refineries were restarted over the weekend. Furthermore, Chinese crude processing in…
ES-power
October 27, 2021

EUAs edged up but failed to break resistance

The power spot prices faded in Northwestern Europe yesterday, pressured by forecasts of rising wind and solar generation and improved French nuclear availability. The day-ahead…
Join EnergyScan

Get more analysis and data with our Premium subscription

Ask for a free trial here

Don’t have an account yet? 

[booked-calendar]