Over the last few days, gasoil cracks have been strengthening quite significantly. The July gasoil crack has increased from a value of around $ 14.25/bbl at the start of the month to almost $ 16.00 /bbl today. In this background, we take a look at what is happening fundamentally. There are essentially 3 drivers to the growth in the refining margin (crack) of a product. These are Fundamental spot demand This would manifest…
Read MoreCrude Oil Oil prices rose more than 2% on Wednesday after the DOE reported a huge drop in crude oil stocks accompanied with sizable drops in product stocks. Brent crude futures rose $ 1.44 to settle at $66.49 a barrel. WTI crude futures rose $ 1.55 to settle at $59.38 a barrel. U.S. gasoline futures were up 4% after climbing to their highest since May 23 in overnight trade. The crude inventory fall and refinery…
Read MoreCrude Oil Oil prices were mixed on Tuesday as well. Yesterday Brent crude futures rose 19 cents to settle at $65.05 a barrel. WTI crude futures fell 7 cents to settle at $57.83 a barrel. Oil prices were mixed on Tuesday ahead of data expected to show U.S. crude stocks declining, outweighing investors’ concerns that U.S. China trade tensions could dampen fuel demand. U.S. President Donald Trump threatened on Tuesday to obliterate parts of…
Read MoreCrude Oil Oil prices were mixed on Monday. Brent crude futures fell 34 cents to settle at $64.86 a barrel. WTI crude futures rose 45 cents to settle at $57.90 a barrel. Market concerns about the possibility of a conflict between the United States and Iran have eased. As a result, worries about declining crude demand have resurfaced. Hopes are waning for progress in Sino U.S. trade talks at this week’s G20 meeting as investors…
Read MoreCrude Oil Oil prices built on recent gains on Friday on fears any U.S. military attack on Iran would disrupt flows from the Middle East. Brent crude futures rose 75 cents to settle at $65.20 a barrel. WTI crude futures rose 80 cents to settle at $57.45 a barrel. U.S. President Donald Trump said on Saturday he would impose fresh sanctions on Iran but that he wanted to make a deal to bolster its flagging…
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