WTI closed higher today in spite of another large week of builds as market focused on the draw down in refined product stocks with refineries increasing output and imports falling for products. Oil complex was not in tandem with stocks today when it has been for some time, so that is an interesting move we will watch to see if pattern persists. Geopolitical fairly unchanged, economic news was mostly bullish, and weather seems to be leaning towards a colder than normal winter for much of the nation.
Refinery utilizations were up 0.4% at 89.2% this week. Imports were up for crude, but down for gasoline and distillates. Apparent demand for gasoline fell this week, while distillate demand rose.
Key Price Drivers
GEOPOLITICAL – Saudi Crown Prince has vowed to bring justice to Khashoggi’s killers after a phone call with Turkish President Erdogan. EU leaders say they are willing to extend the transition period for Brexit to allow for a smoother exit of the UK from the bloc. Communal clashes in Nigeria have forced officials to impose a 24-hour curfew hoping to gain control of the situation. Afghanistan parliamentary elections were extended one day (Sunday) to allow voters sufficient time to cast votes due to security threats and logistical issues. Other regions of the country will be voting later, but signs are promising that vast majority are willing to stand up for democracy.
ECONOMIC – Fed remains committed to pulling back on stimulus and increasing interest rates slowly to prevent an overheated economy. Jobless rate remains around 3.7 percent which is considerably below what is considered full employment. Market still anticipates another rate increase in December with three more in 2019 and possibly two in 2020. Consumer sentiment supports a growing economy and major retail CEO’s are seeing that reflected in their business. New home sales have fallen in September blamed on higher interest rates and possible lower inventory particularly in Southeast due to hurricane impact.
For more information, contact - Gates L. Scott - firstname.lastname@example.org - 303.358.2977
World Fuel Services provides an advanced, diesel-fuel additive and tank cleaning program for those long, winter months. Water has always been a problem in diesel fuel. But today’s cleaner-burning fuels have dramatically reduced sulfur content and are more prone to water separation, contamination and are inherently unstable. A proper fuel-polishing formula along with cold flow technologies will keep your fleet moving in sub-zero temperatures by removing water and slime, dispersing fuel contaminants and stabilizing fuel during winter storage. So, if you’ve neglected cleaning or maintaining your fuel tanks, now’s the time to call!
Benefits from WFS’ Tank Cleaning & Additive Program:
-Reduces Maintenance and Filter Costs for Heavy Equipment
-Protects Against Tank Corrosion
-Disperses Diesel Fuel Contaminants
-Effective with Ultra Low Sulfur, Biodiesels and Blends
Visual Fuel Analysis: World Fuel and its suppliers can collect and analyze fuel samples from tank to determine water and particulate content prior to and after the cleaning process. Process will be considered complete when particulates are less than five microns.
• Fuel Polishing and Tank Sweeping: World Fuel and its suppliers will cycle fuel from each tank through our self-contained step-down filtration unit until the fuel meet ASTM 975 and ISO standards. This process is done utilizing a high-volume return of fuel to agitate the tank bottom debris and water to suspend and be filtered out of tank. Restoring a cleaner fuel and tank to meet standards.
• Disposal: water and solids from the fuel and tank polishing process will be containerize and properly disposed of.
• Insurance & Certification: World Fuel and its suppliers have all appropriate environmental coverage and liability coverage to meet all needs. All cleaning and polishing techs are fully trained and certified.
TO RECEIVE INFORMATION ON ADDITIVE & CLEANING PLEASE CONTACT:
GATES L. SCOTT (303) 358.2977 or email@example.com
Gates L. Scott
Gates L. Scott is a Senior Land Executive with World Fuel Services developing new markets and delivery fuel management solutions through the Front Range of Colorado and beyond. A former Certified Flight Instructor and commercial helicopter pilot and aviation enthusiast, he loves anything that flies!
World Kinect Energy - Who Do We Serve?
You need a reliable fuel supplier to keep moving forward. With strategic physical inventory positions across North America, we work closely with vetted suppliers in local markets to ensure reliable, high-quality fuel supply. We have a nationwide and access to hundreds of terminals across the U.S. Our flexible delivery options support your operational requirements.
World Kinect Energy