Europe Distillates-Diesel margins fall back
LONDON, May 29 (Reuters) -Northwest European diesel barge refining margins shed 99 cents on Wednesday to around $17 a barrel, as strong imports into Europe continued to weigh on prices.
Three barges traded in the afternoon window, with Shell selling to Glencore. That compared with sixteen barges traded on Tuesday.
"Diesel shipments into Europe arriving in May are set to reach a 10-month high backed by bumper flows from the Middle East and Asia that was more than enough to wipe out the sharp drop in exports from the US," said LSEG analyst Raj Rajendran.
"The weakness in ARA barge differentials signals a need to work through the surplus caused by significant diesel arrivals into Europe in April and early May," said Sparta Commodities analyst James Noel-Beswick.
Russia's exports of ultra low-sulphur diesel (ULSD) from the Baltic Sea port of Primorsk in June are set to fall by 4.4% month on month to 1.36 million metric tons, two traders said on Wednesday.
Around 20 workers from a chemical unit are on strike at ExxonMobil's Port Jerome Gravenchon petrochemical complex in northern France until Thursday, a company spokesperson said on Wednesday.
Trades | Bids | Offers | Previous Session | Seller | Buyer | |
|---|---|---|---|---|---|---|
0.1 GO Barge diffs fob ARA per tonne GO-ED-ARA | ||||||
0.1 GO Cargo diffs cif NEW per tonne GO-CND-NWE | ||||||
0.1 GO Cargo diffs cif Med per tonne GO-CND-MED | ||||||
50ppm barge diffs fob ARA per tonne GO50PPM-ED-ARA | ||||||
Diesel | Trades | Bids | Offers | Previous Session | Seller | Buyer |
Diesel barge diffs fob ARA per tonne ULSD10-BD-ARA | June -$2 (3 barges) | June -$1.50-$2 | Shell | Glencore | ||
Diesel cargo diffs cif NEW per tonne ULSD10-ANYD-NWE | ||||||
Diesel cargo diffs cif Med per tonne DL-CIFD-MED | June +$9.25 | |||||
Jet fuel | Trades | Bids | Offers | Previous Session | Seller | Buyer |
Jet fuel barge diffs fob FARAG per tonne JET-BD-ARA | FBH -$0.25 | |||||
Jet fuel cargo cif NEW per tonne JET-CD-NWE | June +$57 | July +$56 (Rotterdam) |
Fuel Oil | Trades | Bids | Offers | Previous Session | Seller | Buyer |
0.5% barge fob ARA per tonne | $546-548 (8 barges) | $545-$548 | Totsa | Northstar, Trafigura, United, Peninsula, Mercuria, BP | ||
3.5% barge fob ARA per tonne HFO-ARA | $476-479 (10 barges) | $475 | Totsa, Mercuria | United, Northstar, Shell, Mercuria |
ICE Low Sulphur Gasoil | LGOc1 | Previous |
Diesel ARA Barge Cracks vs Brent futures (per barrel) | $17.04 | $18.03 |
Diesel spread | LGOc1-LGOc2 |
Reporting by Robert Harvey
Editing by Alexandra Hudsn
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
