Northwest European gasoline refining margins jumped to $59.41 per barrel on Wednesday, closing in on levels last seen during the 2022 energy crisis. Tight supplies and low inventories drove the gain, while barge trading picked up and U.S. stockpiles fell less than analysts expected.
Margins near 2022 highs
Northwest European crude oil refining margins for gasoline climbed $3.79 to $59.41 per barrel on Wednesday, approaching record levels last reached during the 2022 energy crisis. Limited supplies and low inventories drove the increase.
Sparta Commodities analyst Nikolas Plonski said "EBOB spreads may have further upside to go" in the short term, pointing to renewed buying activity as the market rolls into the September window with inventories staying tight.
Barge trading picks up
Traders exchanged about 11,000 metric tons of gasoline E5 barges, with Equinor, Exxon and MB Energy selling to Vitol, Varo, Sahara, Gunvor and Trafigura. An additional 6,000 tons of gasoline E10 barges changed hands, with Shell and Sahara selling to Varo and Exxon.
US stocks fall less than forecast
The Energy Information Administration reported that U.S. gasoline stocks dropped 1.2 million barrels to 205.7 million barrels in the week ending August 28. Analysts had forecast a larger decline of 1.8 million barrels.
Meanwhile, data from Kpler showed that EU-27 and UK gasoline and blending component exports to other regions averaged about 635,000 barrels per day during August 1-2. That compares with roughly 1.08 million barrels per day of exports across August, up from about 1.02 million barrels per day in July.
Source: Investing.com
Trading involves risk.
Risk Disclaimer
