luxorpokerroom| Business community: The price trend of refining gasoline and diesel is weak in a place where supply and demand are weak

Original title: Business community: Supply and demand are both weak, the price trend of refining steam and diesel is weak Source: PTA Network

According to the business community commodity market analysis systemluxorpokerroomRecently, the price of domestic refined gasoline and diesel has been weak. As of the 23rd, the domestic price of 92 #gasoline was 8,565.luxorpokerroom0.6 yuan/ton, the weekly price fell 0.72%; the domestic 0 #diesel price was 7,230.6 yuan/ton, and the weekly price fell 0.04%.

Trend chart of average domestic 92 #gasoline distribution price

Cost: Weak demand & increased inventories, pressure on crude oil and lower

As of the 22nd, the settlement price of the main contract of WTI crude oil futures in the United States was reported at US$77.57/barrel, and the settlement price of the main contract of Brent crude oil futures was reported at US$81.90/barrel. Recently, the crude oil market has fluctuated lower, and the cost price has fallen, which has a negative impact on the domestic refining steam and diesel market. The crude oil market fell. On the one hand, the market's concerns about the economy and demand prospects have intensified, and the trend of international oil prices has declined. On the other hand, a report released by the U.S. Energy Information Administration (EIA) on Wednesday showed that U.S. crude oil and distillate inventories increased last week, and U.S. crude oil inventories increased by 1.8 million barrels to 458.8 million barrels. Affected by this, the international oil price market has declined, and cost support from the domestic refined oil market has weakened.

Supply side: Some units are reduced, refineries start to decline

Recently, Shandong's maintenance equipment has reduced production, and the operating rate of Shandong's local refinery has dropped. The average operating rate of Shandong's local refinery has dropped to about 55%. Domestic refining profits have been severely squeezed, profits have shrunk significantly, and refineries 'enthusiasm for starting operations has dropped significantly. The supply of refined oil products has decreased, and the market for local refining gasoline and diesel has been weak and volatile.

Demand side: Weak demand, gasoline and diesel prices fall

In terms of gasoline, residents 'travel has returned to normal, purchasing sentiment is not high, and the gasoline market has declined slightly. In terms of diesel, downstream demand has not followed up sufficiently. The operating rate of outdoor projects has not changed much. Logistics and transportation is relatively normal. Diesel demand has not improved significantly, and diesel prices have dropped slightly. Coupled with poor gasoline demand in Asia, my country's gasoline exports fell to the lowest point in two years in April. In April, my country's gasoline exports were 484,800 tons, down 64.86% month-on-month and 50.73% year-on-year. The decrease in export volume is also one of the negative factors in the domestic refined oil market.

Outlook: Current geopolitical instability still plays a certain positive role in oil prices. The peak driving season in North America will stimulate gasoline demand. However, current demand expectations in Asia are weak, coupled with the increase in U.S. crude oil inventories, is negative for the crude oil market. Overall, crude oil prices are mainly volatile. Domestically, the operating rate of refineries is still on a downward trend in the short term, and residents 'travel has returned to normal. However, the temperature has increased, and the oil consumption has increased. Overall, gasoline is not supported enough, and there is no shortage of room for a slight decline in the gasoline market in the later period; diesel demand has not changed much, and the diesel market has declined slightly. However, diesel profits are limited, which will limit the decline in diesel.