š¢ļø ā U.S. refineries are about to lose their biggest source of crude oil
U.S. refineries are running at 97.2% utilizationā the fastest pace in 8 yearsā chasing record diesel margins (~US$100/bbl). And just when they need the oil most, supply is about to shrink.
Canada, their #1 foreign supplier (~4M+ bpd), is taking about 300 thousand bpd of oil sands production offline next month for maintenance (Rystad), with Alberta inventories already at their lowest in 1 year. Midwest refineriesā once thought to be protected from the Hormuz shockā now face pressure from both sides: Gulf supply remains constrained, and northern barrels are running dry.
The result: a severe shortage of feedstock, which feeds directly into pump prices at retail ahead of Labor Day. With Cushing inventories at multi-decade lows, the SPR at lows of ~40 years, and Brent near US$93ā .#USDollarFallsToThreeMonthLow #USThreeMajorIndexesPostWeeklyLosses #TeslaHitsMonthlyHigh #GoldReboundsNearly5% #USRefinersFaceLoomingCrudeSupplyDrop $PEPE $shib
$SOL
U.S. refineries are running at 97.2% utilizationā the fastest pace in 8 yearsā chasing record diesel margins (~US$100/bbl). And just when they need the oil most, supply is about to shrink.
Canada, their #1 foreign supplier (~4M+ bpd), is taking about 300 thousand bpd of oil sands production offline next month for maintenance (Rystad), with Alberta inventories already at their lowest in 1 year. Midwest refineriesā once thought to be protected from the Hormuz shockā now face pressure from both sides: Gulf supply remains constrained, and northern barrels are running dry.
The result: a severe shortage of feedstock, which feeds directly into pump prices at retail ahead of Labor Day. With Cushing inventories at multi-decade lows, the SPR at lows of ~40 years, and Brent near US$93ā .#USDollarFallsToThreeMonthLow #USThreeMajorIndexesPostWeeklyLosses #TeslaHitsMonthlyHigh #GoldReboundsNearly5% #USRefinersFaceLoomingCrudeSupplyDrop $PEPE $shib
$SOL