Bloomberg Surveillance · Thursday, July 30, 2026
A crisis in the refining sector is highlighted, with utilization rates at 96%. The significant margin between crude oil prices and refined products like gasoline and distillates indicates tightness specifically within the refining system, not crude supply.
“We have been super bullish on refining and think there is a major crisis here. We argue people are looking at the wrong oil price. Crude is not the issue. Gasoline distolate and jeb are Paul joined us now for more porulgo mornic.”
“Well, it's just that the refiners here, for example, refiners are running it's ninety six percent utilization.”
“The seventy dollars refining margin, and that's telling you that the tightness is in the refining system. So there's plenty, more or less plenty of crude, a lot of it driven by China's behavior and by the SPR which is another big turning point by the way, because when we run out of SPR, which should happen around September, that'll massively change the dynamics of the WTI market here in the US. And what it would be very bullish.”