Global product markets weekly: Strong gasoline and fuel oil cracks continued to support the global refining margin

The crude market recovered strongly last week, catching up with the robust product market. The weekly average of North Sea dated increased by $2.26/bbl to $66.07/bbl week on week. Last week, the front month of Brent and WTI jumped on positive EIA weekly report and escalating tensions in the Middle East. The market’s expectation over Fed rate cuts this year is also holding up the prices. During Asia opening on this Monday, oil markets reacted mildly negative to the weakest China GDP growth reading as the figure came out within market expectations. The Chinese economy growth slowed to 6.2% during the second quarter, confirming the detrimental impact of Sino-US trade conflicts and thus weighing on the global demand outlook.