European gasoline cracks rise

Gasoline refining margins in northwest Europe rose on Thursday after inventories on both sides of the Atlantic fell, indicating a glut that has closed the transatlantic arbitrage from Europe is beginning to ease. Gasoline stocks in independently held storage in the Amsterdam-Rotterdam-Antwerp (ARA) region fell by 4.3 percent in the week to Thursday, data from Dutch consultancy PJK International showed.
Inventories drew down due to export activity from the storage and refining hub to West Africa, the Far East and the Middle East, PJK's Patrick Kulsen said. Gasoline was exported to Pakistan, PJK said, a rare arbitrage from ARA but which became more workable after the country switched to higher octane specifications for the motor fuel last year.
US gasoline stocks fell 2.6 million barrels last week, compared with analysts' expectations in a Reuters poll for a 888,000-barrel drop, the US Energy Information Administration said on Thursday. Several cargoes of gasoline have been exported from the New York Harbor to West Africa in recent days in a sign of increasing stock pressure in the hub, traders said.
Gunvor sold to Varo one barge of benchmark European gasoline in the afternoon window at $549 a tonne fob ARA, up from $545 a tonne on Wednesday. Earlier in the day, some 4,000 tonnes traded at around $551 a tonne fob Amsterdam-Rotterdam, up from $546 a tonne fob during the previous session. No barges of premium unleaded gasoline traded. An offer emerged at $567 a tonne fob ARA. Brent crude futures were up 75 cents at $55.59 a barrel by 1726 GMT. Gasoline barge refining margins rose to $9.62 a barrel from $9.36 a barrel a day earlier.