Events in the Middle East, such as an escalation of fighting in the Syrian civil war (with the major powers seeking to throw their weight around even more in that arena) along with a military coup in Egypt, have pushed the price of US crude oil benchmark West Texas Intermediate up over $100 per barrels for the first time in over a year. So far, refined product prices have been slow to follow owing to ample inventories globally. These political events have taken the spotlight off of Europe’s very real recession, however. That recession, which still is being felt in the downstream sector, will likely have an impact on regional and global downstream investments for some time to come. Any company looking at European demand growth as a place to unload marginal product had best look elsewhere as the region’s refineries are already on the endangered species list and demand is slated to decline for the foreseeable future. As always, it looks like the developing world and possibly the US will have to pick up the slack for the rest of the world’s excess production of motor fuels.
A monthly report covering supply and demand forecasts in all regions of gasoline, gasoil/diesel and jet kerosene. The report provides a quarterly forecast and gives context through a discussion of the history that brought the market to this point.
Reasons to buy
In one concise document, the reader gains a sense of world supply and demand of refined products and the health of the overall world economy.