SINGAPORE, July 28 (Reuters) - Asian refining margins for jet fuel climbed on Tuesday,
supported by an improvement in flight schedules primarily on domestic routes and steady air
freight demand.
Refining margins or cracks for jet fuel rose for a second consecutive session
to $2.30 a barrel over Dubai crude during Asian trading hours, up 64 cents from a day earlier.
The jet cracks averaged $2.01 a barrel over Dubal crude in June, after averaging at a
discount of $1.08 a barrel in May, the month the refining margins saw the worst impact of the
COVID-19 pandemic, Refinitiv Eikon data showed.
"Globally, the number of scheduled flights is now exactly half of where it was a year ago,
reflecting a continued improvement in airline schedules," aviation data firm OAG said in a
statement.
Scheduled flights in India were down 61.7% in the week to July 27, versus the same period a
year ago. This compares with a year-over-year drop of 69% for the month of June.
Japan's scheduled flights in the week to Monday were 32% lower than the corresponding
year-ago period. This compares with a decline of 45% last month.
China Southern Airlines on Tuesday rolled out an "all you can fly" pass,
becoming the latest in a fleet of cash-strapped carriers to join a promotional craze that
analysts say has helped revive the coronavirus-ravaged air travel market.
At least eight of China's dozens of airlines have introduced similar deals since June, and
industry watchers say the packages have been a shot in the arm in a country where daily flights
last month recovered to 80% of pre-coronavirus levels.
Cash discounts for jet fuel JET-SIN-DIF were at a discount of 29 cents a barrel to
Singapore quotes on Tuesday, compared with a 30-cent discount on Monday.
SINGAPORE CASH DEALS
- No gasoil deals, no jet fuel trades
OTHER NEWS
- Vietnam has suspended all flights to and from Danang for 15 days after at least 14 cases
of the novel coronavirus had been detected in the city, the government said on Tuesday.
- Oil prices were steady on Tuesday as hopes for additional U.S. measures to stimulate the
economy countered a demand outlook dampened by rising of coronavirus cases across the globe.
ASSESSMENTS
MID-DISTILLATES
CASH ($/T) ASIA CLOSE Change % Change Prev Close RIC
Spot Gas Oil 0.5% 49.00 0.43 0.89 48.57 GO-SIN
GO 0.5 Diff -0.93 0.01 -1.06 -0.94 GO-SIN-DIF
Spot Gas Oil 0.25% 49.64 0.43 0.87 49.21 GO25-SIN
GO 0.25 Diff -0.29 0.01 -3.33 -0.30 GO25-SIN-DIF
Spot Gas Oil 0.05% 50.15 0.43 0.86 49.72 GO005-SIN
GO 0.05 Diff 0.22 0.01 4.76 0.21 GO005-SIN-DIF
Spot Gas Oil 0.001% 50.19 0.37 0.74 49.82 GO10-SIN
GO 0.001 Diff 0.27 -0.05 -15.63 0.32 GO10-SIN-DIF
Spot Jet/Kero 45.03 0.86 1.95 44.17 JET-SIN
Jet/Kero Diff -0.29 0.01 -3.33 -0.30 JET-SIN-DIF
For a list of derivatives prices, including margins, please double
click the RICs below.
Brent M1
Gasoil M1
Gasoil M1/M2
Gasoil M2
Regrade M1
Regrade M2
Jet M1
Jet M1/M2
Jet M2
Gasoil 500ppm-Dubai
Cracks M1
Gasoil 500ppm-Dubai
Cracks M2
Jet Cracks M1
Jet Cracks M2
East-West M1
East-West M2
LGO M1
LGO M1/M2
LGO M2
Crack LGO-Brent M1
Crack LGO-Brent M2
(Reporting by Koustav Samanta; Editing by Devika Syamnath)
