Asia’s gasoline margins climbed on Wednesday as a dip in regional supplies boosted margins and improved market sentiments.
Saudi Aramco emerged as the biggest seller for the third straight session, selling 100,000 barrels of the benchmark grade of octane.
The crack rose to reach a two-week high of $5.97 per barrel above Brent crude from $4.45 on Tuesday. The crack last hit $6.69 on Sept. 3, 2024.
In tenders, Pakistan’s PSO was seeking 92-octane gasoline
for loading in Nov. 1-10, 2024, the company website said. The tender closes on Sept. 23, 2024.
In naphtha, the margins strengthened by $1.64 to hit $109.28 per metric ton over Brent crude.
No naphtha deals concluded for the third straight session.
NEWS
Oil fell on Wednesday, after two sessions of gains. Prices had a downward pressure after U.S. crude and fuel inventories increased, offsetting rising tension in the Middle East and the potentially bullish impact of a U.S. interest rate cut.
Brent crude futures LCOc1 for November were down 54 cents at $73.16 a barrel. U.S. crude futures CLc1 for October slid 46 cents to $70.73. O/R
Russia may hold off oil export cuts for its western ports in October or even increase loadings, despite scheduled rise of available primary oil refining capacity at local oil plants which enables Moscow to boost crude runs, market sources said.
China’s gasoline exports were down 44% in August from a year earlier. Gasoline exports were at 770,000 metric tons last month, the lowest since April. That was off steeply from 1.38 million tons in August 2023 and also down from 790,000 tons in July, data from the General Administration of Customs data showed.
INVENTORIES
U.S. Gasoline inventories rose 2.34 million barrels and distillate stocks climbed 2.30 million barrels, according to market sources citing the American Petroleum Institute. API/S
Light distillate stocks, including naphtha and gasoline, at the Fujairah commercial hub fell 4,000 barrels to 5.565 million in the week to Sept. 16, S&P Global Commodity Insights data showed.
Source: Reuters (Reporting by Haridas; Editing by Shreya Biswas)