Some short bearishness in Western distillates in the short term, but with stocks low and jet yields high, diesel cracks will not fall far
Commentary summary:
• USGC TA diesel arbs open this week into NWE and the MED. AG/WCI diesel and jet arbs are also open into Europe and even into New York during parts of this week.
• All global diesel spreads and cracks exhibit gains over the last week, whilst jet pricing continues to suffer.
• Friday saw the announcement of EU sanctions on Russia, though the product “ban” will start only in January 2026.
• Bearish Western distillates (diesel and jet) in the short term, whilst Singapore diesel cracks and spreads should continue to gain.
James Noel-Beswick is Commodity Owner for Sparta. Before joining Sparta, James worked as an analyst for likes of BP and Shell and leads our continued development of the distillate product vertical.
Sparta Knowledge Free Trial
Sparta’s Market Commentary is now exclusively available within Sparta Knowledge. Access a 30 day free trial to explore curated insights, live prices, and expert calls.
Market commentaries will be moving permanently into Sparta Knowledge, alongside several new and exciting knowledge and insight features.
Book a demo to see how Sparta enables you to trade with conviction
