The Oil Price Disconnect Between Crude and Refined Fuels

Episode 38 of The Commodities Economy: Lucas and Luna explore the growing disconnect between crude oil prices and the price of refined fuels like diesel and gasoline. With Brent crude near $97 a barrel, diesel futures are surging to multi-year highs relative to crude, squeezing trucking companies and airlines. The hosts break down the role of refinery capacity constraints, low distillate inventories, and the shift to lower-sulfur marine fuels. They cite specific data: U.S. distillate stocks are 12% below the five-year average, and the 3-2-1 crack spread — a measure of refining margins — has widened to $45 per barrel, the highest since 2022. The episode also touches on how regional imbalances, especially in Europe and Asia, are amplifying the price gap. Listener support via buymeacoffee.com/fexingo keeps the show ad-free. #Oil #RefinedFuels #CrackSpread #Diesel #Gasoline #DistillateInventories #RefineryCapacity #BrentCrude #Trucking #Airlines #MarineFuels #IMO2020 #Commodities #Economics #FexingoBusiness #BusinessPodcast #SupplyChain #EnergyMarkets Keep every episode free: buymeacoffee.com/fexingo