Europe distillates-diesel profit margins fall
USO•Northwest European diesel refining margins fell more than 7% on Tuesday. Low-sulphur gasoil futures traded at a $67.01-a-barrel premium to Brent, down about $5.58 from the previous close.
1. Diesel margins decline
Northwest European diesel refining margins fell more than 7% on Tuesday. Low-sulphur gasoil futures traded at a $67.01-a-barrel premium to Brent crude futures at 1726 GMT, down about $5.58 from the previous close.
2. Oil and imports
Oil prices fell about 2% to fresh two-month lows after US officials downplayed the need for additional military action against Iran, easing fears of further Middle East supply disruptions. EU-27 and UK diesel and gasoil imports averaged about 603,000 barrels per day so far in November, compared with 792,000 bpd for all of October.
3. Other market details
Russian Foreign Minister Sergei Lavrov said an accord under which Russia supplies diesel to the US and world markets was working and lowering prices. The British government was expected to cut its 2030 electric-vehicle sales target by about a quarter, to around 60%, the Guardian reported, citing government sources.
