Story
Northwest Europe Gasoline Margins Ease but Remain Near 2022 Crisis Highs
Summary
Gasoline refining margins in Northwest Europe fell to $60.20 a barrel but stayed near historic peaks from the 2022 energy crisis, reflecting tight regional supply despite a sharp rise in inventories.
Gasoline refining margins in Northwest Europe retreated to $60.20 per barrel on Friday but remained near the record highs established during the 2022 energy crisis. The elevated profit levels for refiners underscore persistent supply tightness in the region.
Inventory Builds Amid Lower Exports
Despite the strong margins, gasoline inventories in the key Amsterdam-Rotterdam-Antwerp (ARA) refining and storage hub saw a significant build. According to a Thursday report from Dutch consultancy Insights Global, independent gasoline stocks climbed by nearly 18% week-over-week.
Total stockpiles in the ARA hub rose to 885,000 metric tons. Rick Veringmeier, an analyst at Insights Global, attributed the increase primarily to a reduction in exports to other regions. Veringmeier also noted that blending activity for automotive fuels continues to rise.
AdActive Physical Market
Trading activity in the physical market was robust. In total, 4,000 metric tons of E5 gasoline barges were traded, with MB and BP selling to buyers Gunvor and Trafigura.
Additionally, another 4,000 metric tons of E10 gasoline barges changed hands. Sellers included ATL and Equinor, while Varo and Exxon were the buyers in those transactions.
Read next
More on Commodities
US-China Summit to Tackle Key Commodity Disputes in Agriculture, Energy
The upcoming meeting between President Trump and President Xi is expected to focus on resolving trade frictions involving U.S. agricultural exports, Chinese energy tariffs, and the supply of critical rare earth materials.
Citi Warns Hawkish Fed Policy Threatens Non-AI Economic Growth
A recent report from Citi Research warns that the Federal Reserve's hawkish monetary policy could suppress the U.S. housing market and make the broader economy dangerously dependent on AI investment.
Petrobras Board Approves Participation in New Government Diesel Subsidy Program
Brazil's state-run oil company, Petrobras, will join a new government program providing a 1.00 real per liter subsidy on diesel, a move aimed at stabilizing fuel prices ahead of the upcoming presidential election.
Oil Prices Retreat as China Urges Iran to Curb Houthi Attacks on Saudi Facilities
Crude oil futures fell on Friday after reports that China, at Saudi Arabia's request, pressured Iran to rein in Houthi attacks, easing some geopolitical supply fears. However, ongoing pipeline disruptions and refining constraints continue to support the market.