Asia’s 10 ppm sulphur gasoil margins fell for the third consecutive session to $24.59 a barrel, echoing the weakness in oil futures, despite some open market buying interest.

Cash differentials fell to 73 cents per barrel as several sellers booked the bids from BP for end-March loading parcels.

Mixed market sentiment was evident, as several buyers were more cautious with their bids from their previous day on regional demand uncertainty.

Supply remains readily available from northeast Asia for April, with SK Energy offering an early April cargo via a tender.

Jet fuel refining margins fell at a slower pace, resulting in a narrower regrade at a discount of $2.25 a barrel.

SINGAPORE CASH DEALS

– Two gasoil deals, no jet fuel deal.

INVENTORIES

– U.S. crude oil inventories fell last week, while fuel stockpiles rose, according to market sources citing American Petroleum Institute figures on Tuesday. Crude stocks fell by about 3.8 million barrels in the week ended March 3, they said. Gasoline inventories rose by about 1.8 million barrels, while distillate stocks rose by about 1.9 million barrels, according to the sources, who spoke on condition of anonymity.

– Middle distillates stocks at Fujairah Oil Industry Zone rose to a five-week high at 2.218 million barrels in the week of March 6, according to industry information service S&P Global Commodity Insights.

NEWS

– Deliveries from TotalEnergies SE’s TTE refineries are suspended due to new strike action triggered by the government’s planned pension reform, a company spokesperson said on Wednesday.

– Oil prices fell for a second straight session on Wednesday, driven by fears that more aggressive U.S. interest rate hikes would hit demand, while the market awaited further clarity on inventories.
Source: Reuters