September 26, 2022 Alan Apthorp After closing Friday below $80/bbl for the first time since January, crude markets are continuing their selloff. CFTC data shows that all oil products are seeing reduced buying among institutional investors (hedge funds, money managers, etc), with diesel demand shedding the equivalent of 39 million barrels of holdings over the past 3 weeks. Demand data seems …
August 26, 2022 Alan Apthorp By: Andy Milton Happy Friday everyone! For those that don’t know me, I’m Andy Milton, SVP of Supply at Mansfield. I’m pinch hitting today on FUELSNews and I want to call out a couple of important market indicators. First, the graphic below shows the history and the forward market structure for gasoline and diesel futures. Simply …
August 18, 2022 Alan Apthorp Yesterday’s EIA report left plenty for markets to unpack. Oil markets got a lift, with diesel prices leading the way. Export data got the most attention, with US exports rising to 5 million barrels per day – their highest point ever, and by a wide margin. The report shows that US crude is in high demand …
August 4, 2022 Alan Apthorp The diesel crisis continues even as gasoline markets are slumping. OPEC+ barely moved to increase its output goal, keeping global markets tight. And the US and Iran are heading back to the negotiation table, following the US tightening sanctions. Let’s unpack the day’s news. Yesterday, the EIA published its weekly report which showed a headline 4.5 …
July 25, 2022 Alan Apthorp For the past several months, hefty withdrawals from America’s Strategic Petroleum Reserve have kept the market afloat. In April, President Biden authorized up to 1 million barrels per day (MMbpd) to be withdrawn from the SPR, which has gone towards balancing US and global markets. By June, the SPR fell below 500 million barrels for …
It’s common for the mainstream media to comment on gasoline prices – something which impacts most consumers every day. But if you live outside the US and Canada, diesel might be the product you’d use more often. In the US, gasoline demand tends to be 2-2.5x higher than diesel demand; in the EU, diesel demand is 3x higher than gasoline …
June 8, 2022 Noah Young Oil prices are rising this morning as summer gasoline prices continue to bode ill for consumers. In many parts of the United States, gasoline prices are well above $5/gallon as reported in Monday’s edition of FUELSNews Daily. With prices continuing their trend upward, many are saying that oil will reach a $150/bbl mark. This week …
Looking back at this past week, the upward rally for oil prices has been relentless despite some bearish news this week. Although some days have begun lower, prices have risen the past three straight trading sessions – and today looks to continue that streak. As always, there are a few factors on both sides impacting the fuel market, so let’s …
Diesel inventories have fallen to historic lows, and this week’s meager gain in diesel stocks doesn’t undo months of declining supplies. Fuel prices are at historic levels, trading at hefty premiums above already elevated crude costs. Those premiums, called “crack spreads”, should incentivize refiners to produce more fuel. Indeed, refiners have been producing at over 90% utilization over the past …
This morning the EIA reported a meager 1.2-MMbbl build for diesel inventories – a small victory given historically low diesel inventories. Oil markets appear to be celebrating the news this morning, with fuel prices down roughly 15 cents following the morning report. Both gasoline and diesel have moved away from the $4/gal threshold, though a quick spike to $4 remains …
