Jacques Rousseau Quotes
Gasoline consumption over the past 4 weeks has been 2.4 percent above prior-year levels, on average, suggesting momentum continues to build ahead of the summer driving seasons. 
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Gasoline | Consumption | Weeks | Percent | Prior |
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Although some member countries have signaled an interest in reducing the cartel's production output target of 28 million b/d due to concerns of oversupply, a reduction is unlikely, in our view, given the current high crude oil prices, which have gained $5/bbl this year primarily as a result of a geopolitical risk in Iran and Nigeria.
- Jacques Rousseau
Using Valero's forecast and a 4.3% 3-year historical average for this period, we estimate an incremental supply loss of about 260,000 b/d over this 4-month period. Moreover, with much of the turnaround work expected to focus on the refineries' cat cracking units, a disproportionate amount of the production loss will likely be gasoline, reducing inventories (currently at historically average levels) ahead of the summer driving season.
- Jacques Rousseau