Futures fell as much as 0.8 percent. Gasoil supplies in Northeast Europe’s oil storage hub rose 3.4 percent in the week ended April 18, according to Genscape. Gulf Coast distillate supplies rose 2.8 percent to 36.4 million barrels that week, Energy Information Administration data show. The Gulf Coast accounts for 84 percent of distillate exports.
“Refineries are coming out of maintenance in Russia and Europe and the U.S., and that will increase runs,” said Amrita Sen, chief oil market strategist at Energy Aspects Ltd., a research company in London.
Ultra low sulfur diesel for May delivery fell 1.9 cents, or 0.6 percent, to $2.9676 a gallon at 10:36 a.m. on the New York Mercantile Exchange, after touching $2.9638, the lowest intraday price since April 15. Volume was 17 percent below the 100-day average.
Gasoil for May delivery on the London-based ICE Futures Europe exchange fell $1.75 to $918 per metric ton. Low prices for gasoil will attract fewer cargoes to Europe.
U.S. distillate production rose for a seventh time in the week of April 18, jumping 2.1 percent to a three-month high of 4.98 million barrels a day, according to EIA data.
May-delivery gasoline fell 2.11 cents, or 0.7 percent, to $3.054 a gallon on volume that was 9.6 percent above the 100-day average.
The average U.S. pump price is unchanged at a 13-month high of $3.70 a gallon, according to data from Heathrow, Florida-based AAA. Prices are 19.6 cents higher than a year ago.
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