off-the-wire

Asia Naphtha/Gasoline-Gasoline markets end the month with 41% loss

Kitco Media
By Reuters
Published:
Updated:
Reuters
NEW DELHI, April 28 (Reuters) - Asia's gasoline markets weakened by nearly 41% in April amid concerns over high supplies from China contributing to losses in overall refining margins in the region. The crack ended 11 cents down on the last trading day of the month at $9.11 a barrel. The naphtha margin also declined by about $7 to $49.08 a tonne over Brent crude, posting a monthly loss of about 24%. However, gasoline markets could recover next month as the United States heads into summer driving demand season.


Also, China's refining giant Sinopec Corp sees the country's diesel and gasoline demand growing more in the second quarter than in the first three months of 2023, a trend set to bolster the firm's profitability further this year. Meanwhile, lower refining margins globally have ignited speculation around refinery run cuts, although it seems unlikely at the current levels, analysts and traders said. "The total volume of crude processed rarely shifts on a global basis unless margins are outright loss-making," consultancy Energy Aspects said in a note. Singapore markets closed early on Friday due to a public holiday.


NEWS - Oil prices posted mild gains on Friday, but headed for a second week of declines as disappointing U.S. economic data and uncertainty over further interest rate hikes weighed on the demand outlook. - Iran seized a Marshall Islands-flagged oil tanker in the Gulf of Oman in international waters on Thursday, the U.S. Navy said, the latest in a series of seizures or attacks on commercial vessels in sensitive Gulf waters since 2019. PRICES
CASH ($/T) ASIA CLOSE Change % Prev RIC Change Close
OSN Naphtha CFR 641.50 0.00 0.00 641.50 <NAF-1H-TY Japan M1 O> OSN Naphtha CFR 636.50 0.00 0.00 636.50 <NAF-2H-TY Japan M2 O> OSN Naphtha Diff 5.00 0.00 0.00 5.00 <NAF-TYO-D IF> Naphtha Netback FOB 69.28 0.00 0.00 69.28 Sing
Naphtha-Brent Crack 49.08 -6.67 -11.96 55.75 <NAF-SIN-C RK> Gasoline 97 93.61 1.00 1.08 92.61 Gasoline 95 92.15 1.00 1.10 91.15 Gasoline 92 88.10 1.00 1.15 87.10 Gasoline crack 9.11 0.11 1.22 9.00 <GL92-SIN- CRK>
For a list of derivatives prices, including
margins, please double click the RICs below.
Brent M1 <BRENTSGMc


1>
Naphtha CFR Japan M1 <NACFRJPSW


Mc1>
Naphtha CFR Japan <NACFRJPSD
M1/M2 Mc1>
Naphtha CFR Japan M2 <NACFRJPSW


Mc2>
Naphtha Japan-Sing <NAPTC4SPD
Netback M1 Mc1>
Naphtha Japan-Sing <NAPTC4SPD
Netback M2 Mc2>
Naphtha FOB Sing M1 <NAFOBSGSW


Mc1>
Naphtha FOB Sing <NAFOBSGSD
M1/M2 Mc1>
Naphtha FOB Sing M2 <NAFOBSGSW


Mc2>
Naphtha Cracks M1 <NACFRJPCK


Mc1>
East-West Naphtha M1 <NAPJPEWMc


1>
East-West Naphtha M2 <NAPJPEWMc


2>
NWE Naphtha M1 <NAPCNWEAM


c1>
NWE Naphtha M1/M2 <NAPCNWEAS


Mc1>
NWE Naphtha M2 <NAPCNWEAM


c2>
Crack NWE <NAPCNWEAC
Naphtha-Brent M1 Mc1>
Crack NWE <NAPCNWEAC
Naphtha-Brent M2 Mc2>

*Sing refers to
Singapore

(Reporting by Mohi Narayan; editing by Eileen Soreng)

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