Independently-held oil product stocks at the Amsterdam-Rotterdam-Antwerp (ARA) oil trading hub declined in the week to 24 May, mostly dragged down by lower road fuel stocks, according to consultancy Insights Global.

Gasoline inventories declined in the week to 24 May, as more export demand emerged, according to Insights Global. This comes at a time of the fast-approaching driving season, which will support blending feedstocks in the following weeks.

Inland demand remains strong as refineries in southern Germany remain offline, dragging more product from ARA. Cargoes arrived in ARA from Denmark, France, Germany, Italy, Sweden and the UK, and departed to Colombia, the Faroe Islands, France, Turkey, the US and west Africa.

Gasoil stocks fell the most, in outright terms, on the week, the lowest since 27 April when stocks totalled. Demand in Europe is quite high while imports are still strong, according to Insights Global. Gasoil cargoes arrived from Saudi Arabia, Turkey, the UK and the US, and left for France, Ireland, Norway, Sweden and the UK.

On the lighter side of the barrel, naphtha’s inventories fell, which is lower on the year. Demand for naphtha is mostly for gasoline blending as seasonal demand is shifting the market.

Petrochemical demand remained weak in Europe as producers are cautious in ramping up production in the wake of economic headwinds in Europe. Naphtha cargoes arrived from Algeria, Norway, the UK and the US but none left.

Jet fuel stocks were the only ones to rise in the week.

Market demand is rising, as is usual for this time of the year, but this appears to be not enough to match supply. Jet cargoes arrived from Kuwait and left for the UK.

At the heavier side of the barrel, fuel oil stocks declined on the week, the lowest since the week to 27 April. The arbitrage to Singapore appeared open on the week, according to Insights Global. Fuel oil cargoes arrived from Brazil, Finland, France, Ireland, Italy and Mexico, and left for Denmark, France, Italy and the UK.

Reporter: Mykyta Hryshchuk