American Refineries on Track to Beat Oil Processing Record this Year

American oil refineries are running full tilt to meet insatiable demand for gasoline and diesel at home and abroad.
Refineries processed a record-high 18 million barrels of crude per day in early July, according to government statistics.

Full-year refinery activity is expected to hit a record in 2018 for the second year in a row.
The flurry of refinery activity reflects a big increase in driving this summer as the US and global economy strengthens.

West Texas Intermediate graph

“Gasoline demand is strong because of full employment. The economy is chugging along pretty well,” said Matt Smith, director of commodity research at ClipperData.

The amount of motor gasoline delivered in the United States is expected to match the record-high of the last two summers, according to the US Energy Information Administration. A near-record 9.7 million barrels per day of motor gasoline was delivered in early August.

via CNN

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza