Global products market weekly: Margins strengthen on sustained gains in global middle distillate cracks

The oil market rose early in the week as three major oil fields in Libya were forced to close with blockades affecting operations. Ongoing concerns of lower Russian supply kept the market cautious of tight supply. A poor underlying demand outlook from China’s strict zero-Covid policy and a downgrade in the IMF economic growth forecast led to softer prices later in the week. North Sea Dated crude’s weekly average increased by US$1.50/bbl, in the week ended 22 April. Our ex-RVO global composite refining margin increased by US$2.23/bbl to US$24.97/bbl, on a surge in global middle distillate cracks. Weekly margins were at US$20.78/bbl above the five-year historical average for the same week.