Asia’s naphtha refining profit margin gained on Wednesday amid a rise in feedstock demand from upcoming cracker plants in the region and a decline in underlying crude oil prices.

The crack rose about $2 to $117.75 per metric ton over Brent crude and the backwardation between first-half May and first-half June naphtha prices widened to $22.25 per ton, the steepest level since mid-January.

At the Singapore deals window, naphtha activity remained tepid for a fourth straight day.

Meanwhile, light distillate stocks at the Fujairah commercial hub rose by 1.184 million barrels to 8.063 million barrels in the week to March 17, data from S&P Global Commodity Insights showed.

NEWS

– Oil prices fell on Wednesday after Russia agreed to U.S. President Donald Trump’s proposal that Moscow and Kyiv temporarily stop attacking each other’s energy infrastructure, a move that could eventually pave the way for Russian oil to enter global markets.

– Sales of marine fuel at top global refuelling ports are slowing at the start of this year as the shipping sector grapples with uncertainty over geopolitics and the impact of escalating tariffs on global trade, industry sources said.
Source: Reuters