Genscape weekly European market signposts - Jet stocks float to record high

This weekly update integrates Genscape’s proprietary monitoring of near-term data with Wood Mackenzie's Product Markets Short-Term analysis to provide insight to the fast-changing European jet market. Genscape’s analysis of oil product floating storage off the coasts of Europe showed substantial draws in gasoline and diesel in recent weeks, but jet fuel volumes have continued to increase. As Europe reaches the peak summer travel period, the outlook for jet fuel demand is deteriorating with increasing quarantine restrictions imposed. Imports are also set to rise and with floating stocks already at record highs margins are set to remain heavily under pressure. The movement of jet from floating storage will be one of the best indicators of improved demand, but there seems little prospect of this in the short term.