Physical oil market tightens as refiners scramble for crude:

29 Jul 2017   Prices

Physical crude markets are at last showing signs of tightening as record refinery consumption in the United States coincides with a slowdown in oil exports from the Middle East Gulf. U.S. refineries processed an average of almost 17.3 million barrels of crude per day last week, an increase of 620,000 barrels per day (bpd) compared with the same week in 2016 (tmsnrt.rs/2h8Wkh9). Fuel consumption by U.S. motorists remains largely flat but U.S. refineries are seeing higher demand for gasoline and diesel from Latin America where supplies have been hit by local refinery problems. Refinery crude consumption remains high in most other geographical markets in an indication fuel demand is growing strongly, especially in emerging economies. OPEC exports have been rising as a result of increasing output from Libya and Nigeria, which are not capped under the organization’s production deal, and poor compliance from some members. But […]

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