Global products market weekly: Margins rise with ongoing demand growth and refinery outages tightening products supply
The oil market recovered from its early week losses on sharp draws in US fuel stocks and expectations of slowing interest rate hikes as US consumer prices saw only moderate increases. Prices were earlier dampened by weak China data as crude imports for July came in lowest since January. However the extension of Saudi and Russia crude supply cuts to September is expected to keep oil supply tightened, lending support to prices. North Sea Dated crude’s weekly average rose by US$1.97/bbl, in the week ended 11 August. Our ex-RVO global composite refining margin increased by US$0.23/bbl to US$16.37/bbl, on strengthening middle distillate cracks. Weekly margins were at US$11.78/bbl above the five-year historical average for the same week (excluding 2022).