Refining Margins Squeezed as Tepid Demand Casts Shadow Over U.S. Gasoline Market

  • 📰 OilandEnergy
  • ⏱ Reading Time:
  • 25 sec. here
  • 11 min. at publisher
  • 📊 Quality Score:
  • News: 44%
  • Publisher: 68%

Gasoline Demand News

Refining Margins,Gasoline Prices,U.S. Refining Industry

U.S. gasoline demand falls short of expectations, leading to rising stocks and depressed refining margins, while the potential for a busy hurricane season could further disrupt production.

Surging U.S. gasoline production and tepid demand early into the driving season have boosted American gasoline stocks in recent weeks, weighing on refining margins and oil market sentiment. Weaker gasoline demand compared to last year, a well-supplied market with refineries boosting output after spring maintenance, and the recent slide in oil prices have helped lower U.S. gasoline prices at the start of the summer driving season. This is good news for American consumers and the sitting U.S.

But with refiners cranking up fuel output amid weaker demand, gasoline stocks have been rising in the U.S. over the past weeks, weighing on refiners’ profits for producing a barrel of gasoline. Refinery utilization was at 95% in the week to June 7, compared to 93.7% at this time last year, and the highest seasonal since before COVID. If demand was strong, this high rate of U.S. capacity in operation would be warranted. But demand is not strong—it’s weaker than last year.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 34. in İE
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Ireland Ireland Latest News, Ireland Ireland Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Zimbabwe Looks to Develop Lithium Refining IndustryAfrica's largest lithium producer is looking to boost its economy with higher-value lithium by refining the raw material into battery-grade lithium.
Source: OilandEnergy - 🏆 34. / 68 Read more »