Refined Products

Chicago soybean futures declined on Wednesday. They tracked losses in soyoil due to lower crude oil prices, based on reports that the U.S. was seeking a ceasefire of a month for its war against Iran. The price of corn and wheat futures also declined. As of 0325 GMT, the?most active?soybean contracts on the Chicago Board of Trade slipped 0.2% to $11.52-3//4 a bushel. Soyoil dropped 0.8% to 65.21cents per pound. CBOT corn fell 0.7% and wheat dropped 6%, to $4.59-1/2 per bushel. The oil prices fell more than 5% on Wednesday, as a result of reports that the U.S. had...

Two sources with knowledge of the situation say that the Trump administration will announce on Wednesday a temporary lifting of federal smog-cutting restrictions on summer-blend gas to 'curb rising fuel prices due to the war in Iran. This move will make gasoline more affordable by preventing refiners from switching to expensive summer blends. Fuel retailers will also be able to sell gasoline containing 15% ethanol (also known as E15) throughout the summer driving seasons, when more stringent rules would normally limit its use. Analysts believe the change will reduce retail prices by several cents per gallon and help both consumers...

Valero Energy Corp completed the temporary shutdown of ?its 380,000-barrel-per-day oil refinery in ?Port Arthur, Texas, on ?Tuesday ?following a Monday night explosion and fire in a diesel hydrotreater unit, people familiar with the plant operations said. The explosion of the diesel hydrotreater unit 243, which produces 47,000 bpd, did not cause any injuries. The date for the reopening has not been announced. Jefferson County Sheriff's Office said that the cause was unknown but they did not believe it to be an intentional act intended to?damage the refinery. Donta Miller said, "No, it's not that," when asked whether there was...

The spokesperson for the Jefferson County Sheriff's office said on Tuesday that no 'evidence' has been found to indicate a deliberate act as the cause of the explosion which occurred at Valero Energy Corp's Port Arthur refinery in Texas. Donta Miller is the chief deputy of?the sheriff’s office. On Monday night, 'people familiar with the plant operations' said that they could feel an explosion from a diesel-hydrotreater 11 miles away (18 km). Valero closed down the refinery in order to prevent the fire from being fueled by hydrogen or hydrocarbons. Hydrotreaters remove sulfur from motor fuels using hydrogen in accordance...

Smithfield Foods beat analysts' estimates for the fourth quarter results on Tuesday, thanks to strong?demand. It also said that the Middle East conflict will?raise fuel, corn, and packaging costs. Shares of the?U.S. Pork processors jumped by 5% on the morning market after issuing a positive annual profit and sales forecast. Mark Hall, CFO of the company, said that while input costs are expected to remain high by historical standards they will be lower in 2025. The company has increased prices to offset the rising costs of raw materials. It has also seen an increase in demand as more consumers cook...

Valero Energy Corp has shut ?its 380,000-barrel-per-day (bpd) oil refinery in Port Arthur, Texas, ?following an explosion ?and fire at ?a diesel hydrotreater ?unit, people familiar with the plant operations said on Monday. It is not known what caused the explosion. Sources said that the blast could be heard up to 11 miles away. Valero confirmed in an email to that there was a fire at a refinery unit of the company, Port Arthur. The company also stated that all employees were safe. Diesel hydrotreaters remove sulfur from motor fuels using hydrogen during production in order to comply with U.S....

Oil is expensive, especially in the U.S. where spending and driving are so prevalent. The average American consumer is better prepared than ever to cope with oil priced at $100 per barrel, despite the 'fears'. The U.S. household is the wealthiest it has ever been in nominal terms. In'relative terms, they have never been richer. The unemployment rate is at a historic low. And, most importantly, the share of energy and gas consumption has been historically low. It may be that U.S. equities outperformed those of their global peers after the joint U.S. and Israeli strikes on Iran in February...

U.S. Energy Sec. Chris Wright'said Monday that global oil prices had not risen 'enough' to destroy demand, despite the fact that markets were still gyrating and oil prices remained above $100 a barrel because of the U.S./Israel war against Iran. Wright's comments come during one of the most severe energy crises of recent decades, following the closing of a major?shipping route and attacks in the Middle East on energy infrastructure that has sustained?long term damage. Fuel prices in the United States have reached multi-year highs, and oil prices are at multi-year records. Fuel prices in the United States are soaring,...

Oil is expensive, especially for Americans, who spend a lot of money and are involved in a lot of energy-intensive economic activity. The average U.S. customer is better prepared than ever to cope with oil priced at $100 per barrel, despite the fears. The U.S. household is the wealthiest it has ever been, in nominal terms. In relative terms, they've never been any better. The unemployment rate is historically low.?And, perhaps more importantly, energy and gas account for an historically small portion of?consumption. It may be that U.S. equities outperformed those of their global peers after the joint U.S. and...

Keir starmer, the Prime Minister of Britain, called a national meeting to discuss the economic fallout from the war in Iran. The escalating conflict has led to the highest government borrowing costs since the 2008 global crisis. Early this week, the storm on financial markets intensified after Iran threatened to strike energy and water systems in Gulf countries if U.S. president Donald Trump followed through with his threat to attack Iran's electrical grid. Britain's dependence on imported gas, high inflation, and stretched public finances has pushed government bonds to a steeper decline than their international counterparts. The "Cobra" (a cabinet...

The crude oil markets still price in a resolution of the Middle East conflict that will result in the full opening of the Strait of Hormuz. In pricing this outcome, the market actually makes it more likely that the narrow waterway which serves as a channel for as much as 20 percent of the world’s oil supply remains closed. The market still expects U.S. president Donald Trump to deliver TACO - the acronym for Trump always?Chickens out. Trump can continue the conflict by maintaining the price of paper crude oil below the level that would allow for a return to...

Analysts were cautious, however, as they feared that the weekend could bring about unexpected changes to the war status two weeks after its start. Brent futures were up $1.59 or 1.58% to $102.05 a barrel at 11:35 AM CDT (1635 GMT), pointing towards a weekly gain. U.S. West Texas Intermediate crude (WTI), for April, gained $1.15 or 1.2% to $96.88 per barrel. This was also a week-to-week increase. Phil Flynn is a senior analyst at Price Futures Group. We're about to enter another weekend, where this could be over by Monday. We could also see that the war continues and...

Prices of oil?dropped more than 5%?Wednesday? on the prospect that a 'possible? ceasefire would ease supply disruptions in the Middle East region, after reports that the U.S. had sent Iran a plan with 15 points to end their war. Brent crude futures dropped $6.21 or 5.9% to $98.28 per barrel at 0058 GMT after falling to $97.57. U.S. West Texas Intermediate crude futures fell $4.67 or 5.1% to $87.68 per barrel after dropping as low as $86.72. Both benchmarks gained nearly 5% Tuesday before paring their gains in volatile trading after the settlement. Hiroyuki KIKUWA, the chief strategist at Nissan...

Ireland will reduce excise duties on fuels up until the end of May, as part of a 290 million euro package to cushion the economic impact of the Middle East conflict. Prices at some Irish service station have risen above 2 euros per unleaded litre, a price last seen in 2022 when the Ukraine conflict began. The government announced that the reduction in excise tax of 15 cents per litre on petrol and 20 cents for diesel would take effect at midnight on Tuesday. Micheal Mart, Prime Minister of Canada, said at a press conference held on Tuesday that these...

A spokesperson for the European Commission said that Slovakia's decision to enact a resolution this month allowing service stations to limit diesel sales and set higher prices on cars with foreign plates is a violation of EU law. "We note that the Slovak Government has adopted a new measure, which imposes a 30-day restriction on diesel fuelling in Slovakia and introduces?differentiated prices for domestic vehicles and foreign cars. The spokesperson said that higher prices would be charged for vehicles with foreign license plates. We will take legal action in order to comply with the law. "We believe that this measure...

Kenyan independent fuel retailers have reported that they are running out of fuel due to the war in Iran. They also said that 20% of their outlets were affected after the regulator frozen pump prices despite global oil costs rising. Martin Chomba of the Petroleum Outlets Association of Kenya said that dealers are likely to begin hoarding petroleum in anticipation of a consumer fuel price increase next month. African countries are most vulnerable to supply disruptions as well as higher prices, after the conflict all but stopped shipments of one-fifth of world oil and liquefied gas through the Strait of...

Nigeria's Dangote Petroleum Refinery increased gasoline exports to Africa as disruptions in energy supply due to the Iran Conflict squeezed traditional fuel routes and curtailed the cheap imports which dominated West African markets. According to data from the tanker-tracking company Kpler, Nigerian exports of clean petroleum - including gasoline, diesel and kerosene - are up from 100,000 barrels per day on average in February to 214,000 barrels?per day in March. The number of shipments to other African countries has risen to 90,000 bpd. Previously it was only 38,000 bpd. Sources familiar with the deal said that the 650,000 barrels per...

Singapore's Foreign Minister warned on Monday that the war against Iran could send Asian economies into a crisis. This is a "stark warning" in a region which is highly exposed to disruptions of Middle East energy supply. Vivian Balakrishnan said that the 'Closure of the Strait of Hormuz' is a crisis in Asia. In an hour-long interview, he raised questions on the legality and necessity of the U.S./Israeli war against Iran, which is now in its fourth week. He said that the "entire world economy" has been held hostage by a conflict, which could lead to a financial crises. The...

New Zealand's government announced on Monday that it would temporarily allow fuel to be imported from Australia for up to 12 months. The move is to reduce supply risks related to the Middle East conflict as well as the soaring price of petrol. Shane Jones, the Associate Energy Minister, said that the alignment of fuel standard would allow importers to have more choices and reduce disruptions. Jones stated in a press release that "this?is an?adequate, limited-time step" which gives importers access a wider range of fuels, including those already present in our region. He added that the country would not...

Keir starmer, the British prime minister, will pledge on Monday to help "working people", whose cost of living is being exacerbated by the conflict in the Middle East. He will warn companies not to try to "exploit" this crisis by raising prices. Starmer's latest effort to calm British concerns about the Strait of Hormuz conflict, which has effectively closed the Strait of Hormuz as a vital waterway that transports oil and liquefied gas, will be "to assist you in the cost of living through this crisis". Finance Minister Rachel Reeves announced on Saturday that the government would provide "targeted support"...

Japan will begin releasing oil on Monday to ease the shock of?the U.S. and Israeli war on Iran. This is a stark reminder of the oil shortage that occurred half a century earlier, which prompted Tokyo's creation reserves. Tokyo announced that it would release 80 million barrels of crude oil to Japan, which is enough to last the nation for 45 days. The war in the Gulf has disrupted supplies through the Strait of Hormuz. The Japanese government has instructed refiners to use the crude oil released, which will reduce Japan's national reserves by 17 percent, to ensure domestic supplies....

In an interview with?Saturday, Finance Minister Rachel Reeves stated that the British government was looking at providing "targeted support" for the poorer households in order to offset the impact of the rising energy costs caused by the conflict?in the Middle East. Reeves, a Times reporter, said that the government is looking into?options? to help those affected by sharp increases in energy prices. This includes those households who rely on heating oil. However, he ruled out a universal program for all homes, stating it would not be affordable. Labour, which is trailing the populist Reform UK Party in the polls, has...

U.S. Consumer spending increased solidly in January, and the rate of inflation remained high. This, along with the long-running war in the Middle East, strengthened the view among economists that the Federal Reserve will not cut interest rates again before September. Other data released by the Commerce Department Friday, despite the slightly higher-than-expected rise in spending, were not encouraging. The non-defense capital goods orders, which are closely watched as a proxy for business expenditure, were unchanged in January. Economic growth also slowed more than originally thought during the fourth quarter. The reports, which came in the wake unexpected job losses...

An official from the?industry?ministry said that Japan would consider buying Russian crude oil after the U.S. granted a 30-day waiver of?sanctions amid the Iran War, taking into account international conditions and its own?national interest. The U.S. waiver permits countries to purchase sanctioned Russian crude oil and petroleum products that are currently stranded on the sea. Treasury Secretary Scott Bessent described this as a move to stabilize the global energy market, which has been?roiled by Iran's war. Narumi hosokawa, the deputy general-director of the Ministry of Economy, Trade and Industry's (METI) immediate crisis management, said, "We will examine the issue in...