Green shoots of recovery in mogas pricing

Commentary summary:

• The week started on a positive note, with spreads globally moving higher yesterday on a further row-back of US tariffs (potentially only temporarily) and a flurry of rumours around potential refinery outages across the Atlantic Basin 

• Lower TC2 has been allowing the TA Arb (net-RVO) to narrow further recently, but we should have reached a floor for this particular spread for now with RBOB arbs shut for May-loaders in particular.  

• Arbs into the rest of the Atlantic Basin look relatively well balanced at the moment. We see one or two windows where ARA options into Canada look workable, but otherwise cheaper MTBE and other high-octane components are keeping Houston-blending competitive 

• The Singapore market also ticked up strongly at the start of this week, following moves higher in landed values for components into Singapore and potentially reflective again of an uptick in sentiment again following the partial rollback of some aspects of the US tariff regime 

Philip Jones-Lux is Senior Analyst for Sparta. Having worked with organisations such as JBC Energy and RP Global, Philip is a seasoned energy market analyst with expertise across the oil barrel and power markets

Sparta is a live, market intelligence and forecasting platform that enables oil traders, refiners, banks, hedge funds and wholesalers to have access to real-time and global actionable insights to capture market opportunities before others.

To find out how Sparta can allow you to make smarter trading decisions, faster, contact us for a demonstration at sales@spartacommodites.com