Asia distillates-jet fuel cash discounts widen
SINGAPORE, Feb 18 (Reuters) - Asia's cash differentials for jet fuel widened their discounts on Tuesday, weighed down by fragile aviation demand amid coronavirus-led travel restrictions in the region. Cash discounts for jet fuel were at 13 cents per barrel to Singapore quotes on Tuesday, compared with a discount of 12 cents per barrel a day earlier. The front-month time spread for the aviation fuel in Singapore widened its contango by a cent on Tuesday to trade at a discount of 28 cents per barrel, Refinitiv Eikon data showed. The virus outbreak, which originated from the central Chinese city of Wuhan, has led to scores of flight cancellations, hurting travel demand across the whole Asia Pacific region with the impact on future bookings spreading beyond China.
Refining margins or crack spreads for jet fuel crawled up 11 cents to $9.43 a barrel over Dubai crude during Asian trade on Tuesday as raw material crude oil prices fell. Meanwhile, refining profit margins for gasoil with 10 ppm sulphur content also inched higher to $11.53 a barrel over Dubai crude, up from $11.47 per barrel on Monday. Cash premiums for 10 ppm gasoil were at 49 cents a barrel to Singapore quotes on Tuesday, up from 48 cents a barrel on Monday.
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