Updated
Updated · Bloomberg · Jul 16
US Refiners Post Record Profits as 3-2-1 Crack Spread Hits $70 a Barrel
Updated
Updated · Bloomberg · Jul 16

US Refiners Post Record Profits as 3-2-1 Crack Spread Hits $70 a Barrel

3 articles · Updated · Bloomberg · Jul 16

Summary

  • $70 a barrel — the average US 3-2-1 crack spread climbed to a record high on Thursday, giving refiners their strongest profits yet from turning crude into gasoline and diesel.
  • War-driven fuel supply disruptions lifted prices for refined products faster than crude costs, sharply widening the margin refiners earn on two barrels of gasoline and one of diesel from three barrels of oil.
  • The surge underscores how conflict-related supply shocks are rippling beyond crude markets, boosting downstream refiners even as consumers face higher fuel prices.

Insights

As refiners post record profits, are drivers facing a permanent future of painfully high gas prices?
Can today's refining boom last when maintenance is being delayed and massive decarbonization costs loom?
With global conflicts choking supply, how secure is America's fuel access from the next international crisis?