Baton Rouge to Melbourne: Iran war and rising prices upend jet fuel trade
“The medium-term is the bigger concern. If the conflict drags on with no resolution in sight, we could start to see real tightness emerge towards late August and into early September.” — James Noel-Beswick, Head of Commodities at Sparta Commodities
In a recent analysis for Reuters, Sparta’s Head of Commodities, James Noel-Beswick, warns that while global jet fuel supply chains have held so far, the medium-term picture is far more concerning. ARA inventories are at their lowest since March and Singapore middle distillate stocks are near two-month lows, with Europe still struggling to fully replace lost Hormuz flows even at record prices above $200 a barrel. Noel-Beswick flags that if the conflict continues without resolution, real tightness could emerge as early as late August and into September. Traders should monitor ARA and Singapore stock draws closely as the key early indicators of when flexible supply chains start to break down.
Read the full article in Reuters
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