Diesel’s Supply Crunch Leaves Market Crying Out for Barrels
US stockpiles of diesel products have dropped to the lowest for the time of year since 1996.
Photographer: Krisztian Bocsi/BloombergThe world’s biggest oil product market is hungry for barrels as traders grapple with a summer supply squeeze.
US stockpiles of diesel products have dropped to the lowest for the time of year since 1996, while in Europe benchmark futures are signaling a tighter market than during the height of the Israel-Iran conflict. The cost of the fuel relative to crude — a key trading metric known as the crack — is well above seasonal norms in both regions.