Asia Naphtha/Gasoline-Refining margins fall on Chinese demand worries

Asia’s gasoline markets fell below $11 per barrels on Wednesday, as bearish economic data from China raised fuel demand concerns in world’s key oil consumer.

The crack fell to $10.91 per barrel over Brent crude compared with $14.68 a day earlier. At the deals window, a total of 150,000 barrels of gasoline changed hands, market participants said.

China’s has kept 2024 economic growth target unchanged from last year at around 5% which reflects a potential lack of big-ticket stimulus plans to support its ailing economy.

The naphtha crack also fell on Wednesday on Chinese demand concerns. Refining profit for naphtha was down by about $4 to $84.04 per metric ton over Brent crude.

NEWS

– Iran will unload about $50 million worth of crude from the Advantage Sweet, a Marshall Islands-flagged tanker seized by Iran’s army in April 2023, the semi-official Fars news agency reported on Wednesday.

– Dozens of oil tankers used by Russia have stopped sailing under the Liberian and Marshall Islands flags in recent weeks after the United States ramped up sanctions enforcement on ships linked to those registries, according to shipping data and interviews with industry and government officials.

SINGAPORE CASH DEALS

Three gasoline trades, no naphtha deals.
Source: Reuters (Reporting by Mohi Narayan; Editing by Mrigank Dhaniwala)