Global product markets weekly: Global refining margin fell below the five-year low amid weak diesel and fuel oil cracks

The North Sea Dated weekly average rose by US$2.28/bbl to US$62.42/bbl. Oil prices increased amid optimism over the “phase one” agreement between the US and China after China indicated progress in trade talks. Heightened US-Iran tensions after Iran took another step away from the nuclear deal provided additional support to the prices. Sentiments were better after China’s central bank signaled its support to economic growth by cutting its loan rate for the first time since mid-2016. The 7.9-million-barrel increase in US commercial crude inventories for the week ending 1 November erased some of the price gains.