Global products market weekly: Weaker middle distillates softens margins

• The oil market moved sideways this week with lingering issues on supply and demand fundamentals. On supply, EU’s attempt to prompt Iran nuclear talks counteracted with disruptions on oil exports on the southern leg of Russia’s Druzhba pipeline to central Europe. Despite positive export growth figures from China and US jobs data, the oil market remains cautious about a slowing demand outlook. North Sea Dated crude’s weekly average were broadly stable, in the week ended 12 August. Our ex-RVO global composite refining margin increased by US$0.20/bbl to US$11.64/bbl, amid losses in crude prices, while soaring fuel oil cracks globally helps to offset weakness in transport fuel cracks cracks. Weekly margins were at US$7.12/bbl above the five-year historical average for the same week.