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Thomas DeMartino
Sales Manager, North American Energy Clients
Thomas DeMartino serves as the Sales Manager for Energy Markets, North America at Sparta. He has over 20 years of experience in the financial services sector, particularly focusing on real-time market data and news. His professional background highlights a strong motivation and expertise in sales within this specialized field, showcasing his ability to navigate complex market dynamics effectively.
For further details, you can view his LinkedIn profile here .1
Highlights
Sparta Weekly Commentary for Global Distillates, (August 2024) https://lnkd.in/eTqvTJgD
As noted in last week's distillate commentary: "Significant diesel and jet overhang to work through, but maintenance in Asia, Europe, Russia, and the US this September/October should be enough to turn the tide." Prompt spreads and cracks have struggled to gain traction.
The September ICE GO contract is expected to close very weakly, but deferred HO and GO spreads and cracks are likely to recover faster than those in Singapore. Weakening freight rates from both the Middle East and North Asia are boosting prompt diesel arb margins into Singapore.
European diesel premia appear to have already started recovering. The Atlantic Basin jet recovery may take a bit longer. Decreasing Asian jet premia are helping to open the arbs to Europe despite strong Singapore regrade.
Stay tuned for more in Wednesday's distillate commentary.
Sparta Commodities Weekly Report, (Crude) / August 2024
https://lnkd.in/e-DPdSy7 https://lnkd.in/eTqvTJgD
Outright price and crude spreads under pressure once more as refining margins come under pressure and demand comes under pressure from seasonal maintenance and potentially lower marginal utilization rates.
US crude inventories are drawing more slowly than last year despite lower net-imports thanks to continued strong supply, but risk on the horizon remains as Cushing continues to draw. Prompt WTI/Brent spreads have widened slightly on higher front TD25, but we still expect some narrowing in the coming weeks.
The North Sea crude market remains well supported despite closed Arbs for North Sea grades out of the region and strong competition into NWE from US, Black Sea, and WAF grades. Some Libyan barrels returning to the market and European maintenance ahead means the Dated market looks too strong going into September.
The Arbs into Far East continue to show little opportunity for marginal extra cargoes to move, with margins closed on WoS barrels into Medium-complexity setups. Margins have been falling across the board, coming under particular pressure as we move into Q4.
