Asia gasoline oxygenate-spreads narrow as spot cracks hold above $7/b

London, (Quantum Commodity Intelligence) - The spread between the two main grades of finished-spec gasoline trading out of the Asian hub of Singapore narrowed marginally on Wednesday after widening on high demand for 95 RON last week, Quantum data showed.

Finished grade 92 RON traded at $69.50/b for 50,000 barrels loading end-April just before 16.30 Singapore time on Wednesday, down $0.90/b on the day due to a weaker crude complex.

Meanwhile, two trades for the higher-spec 95 RON grade were heard at the same time – one at $71.70/b for end-April loading and a second at a 20-c/b premium to underlying swaps for early-May loading - equivalent to $71.50/b.

With both 95 RON trades valued at the flat price of $71.70/b, that brought the spread between the two grades in from $2.75/b last week to $2.20/b.

Last week, the spread blew out due to higher demand for 95 RON in the cash markets.

Swaps between the two grades for Q2 are averaging at $2.15/b with April at $2.25/b.

Spot cracks for 92 RON grade gasoline versus cash Brent for June have climbed steadily for the past week and remain above $7/b for the fourth consecutive session on Wednesday.