Europe Gasoline Gains as BP Buys; Gasoil Declines: Oil Products
European gasoline gained as BP Plc bought barges. The fuel’s crack, or premium to Brent crude, rose to the most in more than two months.
Gasoil for January delivery declined for the fourth session in five on the ICE Futures Europe exchange in London.
Gasoline barges traded from $978 to $980 a metric ton in the Amsterdam-Rotterdam-Antwerp area, according to a survey of traders and brokers monitoring the Argus bulletin board. That’s the highest since Nov. 19, data compiled by Bloomberg show, and compares with deals at $976 to $977 yesterday.
BP, Vitol Group and Gunvor Group Ltd. bought the Eurobob grade, to which ethanol is added to make finished fuel. Chevron Corp. and Total SA sold the barges, which typically comprise 1,000 to 2,000 tons.
Gasoline’s crack widened to $6.57 a barrel as of 10:53 a.m. local time, according to data from PVM Oil Associates Ltd., a crude and products broker in London. That’s the highest since Oct. 16 and is up from $6.36 the previous session.
Naphtha’s crack, or discount to Brent, widened for a fifth session to $5.97 a barrel, PVM data showed. That’s the biggest loss since Nov. 27. It was at $5.83 yesterday.
January gasoil declined $7, or 0.7 percent, to $935 a ton as of 12:43 p.m. on the ICE exchange. The contract’s discount to February futures, or contango, widened 25 cents to $1.25 a ton.
Gasoil’s crack shrank to $13.79 a barrel versus $14.37 at 4:30 p.m. yesterday. Brent fell 0.4 percent to $111.97 a barrel on ICE.
Spain’s diesel and gasoline consumption dropped in November from a year earlier, according to Corporacion de Reservas Estrategicas de Productos Petroliferos, or Cores.
Diesel demand decreased 6.6 percent to 1.69 million tons, according to preliminary data posted today on the government agency’s website. Gasoline use declined 7.8 percent to 369,000 tons, the data showed.
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