Brent Strengthens Despite Saudi Stepping Up Crude Sales from Ras Tanura

In the news, Saudi Arabia has sold as much as 60mb of crude from the Persian Gulf port of Ras Tanura for September and October loadings outside the Strait of Hormuz via ship-to-ship transfers, as per Reuters. Aramco has offered buyers of the Ras Tanura crude the option to load via ship-to-ship transfers at the port of Sohar in Oman, just outside the strait, per the sources. Elsewhere, across the US, farmers are grappling with record-high diesel prices at the height of harvest season, further squeezing already thin margins. The average US diesel price hit a new record this week, $6.29 per gallon, up 68% from $3.74 a year ago, per EIA data. In Japan, refiners have secured enough crude oil to last through November, the head of the Petroleum Association of Japan has said, amid the temporary shutdown of Saudi Arabia's East-West pipeline following last week's attacks. In Germany, the government has plans to cut the energy tax on gasoline by €0.14 ($0.16) per litre, Bild has reported. Berlin is also working on a gasoline price cap tied to the oil price, though the plans remain subject to talks with the heads of Germany's regional states, per the report. Finally, as of the time of writing, the front-month (Nov/Dec) and 6-month (Nov/May’27) Brent futures spreads are at $4.69/bbl and $18.22/bbl, respectively.

This afternoon in Dated we continued to see strong buying of Oct'26 into Nov'26 rolls with 19-23 Oct vs Cal Nov'26 bought at $3.40/bbl, 25-30 Oct'26 3-week paid at $2.95/bbl and 2-6 Nov 3-week lifted at $2.90/bbl. However did see a size seller of 6-12 Nov vs Cal Nov'26 at $0.75/bbl. In the physical window we saw a trade lift 2 Midland cargos offers, leaving the diff pretty unchanged. In the paper window a major and trades bought 5-9 Oct'26 CFD at $10.30/bbl and we saw buying 28-2 Oct'26 2-week. Post window there was strong buying of 21-25 CFD up to $17.80/bbl and 28-2 Oct'26 CFT up to $15.65/bbl.

A quiet afternoon in Brent/Dubai, Oct Brent/Dubai trading rangebound between $0/bbl to $0.40/bbl. There was trade buying and selling of Oct/Nov Dubai spread, trading between $5.10/bbl to $5.33/bbl. There was some trade buying of Q1 Brent/Dubai which traded $1.79/bbl. There was also continued Chinese selling of Jan Brent futures vs Nov Dubai.

In VLSFO, Chinese arbers came out buying Sing cracks which saw the Oct Sing crack trade up to $22.10/bbl from $21.80/bbl. Once the Chinese buying stopped the crack then came off back to where it started the afternoon. Sing spreads were largely rangebound with Oct/Nov trading around $44.00/mt. Euro 0.5 trended down throughout the afternoon with the Euro crack trading as low as $1.55/bbl while Oct/Nov euro also traded weaker down to $15.50/mt.

In HSFO, 380 cracks were stronger this afternoon with arbers buying flat price. The E/W also found some support trading up to $63.50/mt from $57.00/mt with the 380 crack up to -$2.80/bbl. 380 spreads also found support with Oct/Nov 380 buying up to $34.25/mt from $31.00/mt. The barge crack remained steadfast around -$12.75/bbl while oct nov barges was a touch weaker down to $13.50/mt.

This afternoon in distillates, Sing gasoil spreads saw some weakness on lower ICE gasoil, with Oct/Nov'26 trading from $7.65/bbl down to $7.50/bbl. Nov'26 E/W traded lower initially to -$88.00/mt before seeing strength into the window, trading back to -$85.00/mt. Regrade rolls were well bid, while front regrade saw some selling, Oct'26 down from -$2.80/bbl to -$3.40/bbl.

Prompt ICE gasoil spreads traded up initially before weakening into end window, with Oct/Nov'26 from $75.00/mt up to $77.50/mt, now 75.5. Nov'26 cracks traded to highs of $90.00/bbl before selling to $87.70/bbl. European jet diffs remained steady in Oct'26 at $136.00/mt, while Q1'27 firmed to $138.00/mt.

A strong window in gasoline, with RBBRs rallying to $32/bbl end window. There was good scaleback selling on arbs from -4.75c/gal up to -3c/gal, which pushed front EBOB cracks up from $36.80/bbl to highs of $38.10/bbl, with Q1 offered at $21.65/bbl. Spreads were also generally better bid as Oct/Nov traded up from $104/mt to $109/mt. E/W remained stable around -$6.90/bbl with Dec'26 92 cracks seeing mixed interest up to $18/bbl.

This afternoon in naphtha was firmer but illiquid, with MOC bid and cracks stronger early before some profit-taking into the window, while spreads were crude-dependent. MOPJ remained thin on cracks, with Oct'26 marked closer to $1.70/bbl on a flat-price basis versus around $0.50/bbl this morning, while spreads were better supported, with Oct/Dec'26 at $63.00/mt and Nov/Jan'27 at $59.50/mt after front spreads were bid up earlier on. E/W was firmer versus the morning, with Nov'26 trading up to $59.25/mt in-window before easing back in line with Oct'26 around $58.50/mt post-window, while Q1'27 held firm at $45.00/mt and Cal'27 moved higher earlier from $32.25/mt to $33.75/mt. NWE naphtha was better bid on cracks versus the morning, with Oct'26 recovering from -$5.85/bbl to -$4.70/bbl before easing to -$4.90/bbl post-window, while Cal 27 and Q2'27 were both around -$7.20/bbl; spreads were also stronger but offered in the window, with Oct/Nov'26 around $32.00/mt, Nov/Dec'26 at $31.00/mt and Jan/Feb'27 at $22.75/mt.

This afternoon in NGLs, FEI saw a bit of a reversal after the weakness we have seen over the past few days with both flat price and spreads trading back higher again. Oct/Nov FEI trading at $32/mt up from this morning's levels of $30/mt, and Nov/Dec was trading back at $30/mt. Oct/Dec FEI was also being sold at $63/mt. Oct LST/FEI sold back off as FEI flat price was stronger, trading at -$404/mt by the end of the afternoon, down from the closing level of the morning of -$391/mt. In the deferred, Q1/2 LST/FEI was getting lifted at -$68/mt. LST spreads had better buying this afternoon in the deferred, seeing Q4/1 trade at 3.125c/gal and Q1/2 was lifted at 5.875c/gal, where it eventually closed the afternoon. Also had some Dec/Jan LST buying at 1.125c/gal from US trade. In butane, C4 ENT was initially strong before selling back off, and spreads and C4/C3 followed suit. Oct/Nov C4 ENT traded at 0.875c/gal prior to softening to 0.75c/gal into close, and Q1/2 was trading at 20c/gal. C4/C3 LST opened the afternoon at 45.875c/gal, before printing as high as 47c/gal, before coming to close at 44.375c/gal.