Trevor MacInnis
During a conference call, the company’s CEO Murray Auchincloss remarked on the future of oil trading, stating that with commercial oil stocks being relatively low, “accidents at facilities could lead to significant market volatility.” He believes this will probably occur in the third quarter and maybe at the start of the fourth quarter.
“In the fourth quarter, an increase in oil supply from OPEC nations is anticipated, and trading conditions will largely hinge on the decisions of OPEC+, alongside sanctions affecting Russian and Iranian oil. I anticipate significant volatility in the market,” Auchincloss stated.
He contends that the diesel and jet fuel markets are marked by historically low commercial stock levels due to the retirement of multiple refining capacities (Dos Bokas in Mexico, Dangote in Nigeria, Prax in the UK, Californian refineries).
“Rather than increasing capacity, we remain largely at the same level as non-Chinese, even as total energy demand rises by 1%,” stated the head of BP.
Based on his evaluation, the market is expected to stay strained in early 2026.
source: reuters.com
“In the fourth quarter, an increase in oil supply from OPEC nations is anticipated, and trading conditions will largely hinge on the decisions of OPEC+, alongside sanctions affecting Russian and Iranian oil. I anticipate significant volatility in the market,” Auchincloss stated.
He contends that the diesel and jet fuel markets are marked by historically low commercial stock levels due to the retirement of multiple refining capacities (Dos Bokas in Mexico, Dangote in Nigeria, Prax in the UK, Californian refineries).
“Rather than increasing capacity, we remain largely at the same level as non-Chinese, even as total energy demand rises by 1%,” stated the head of BP.
Based on his evaluation, the market is expected to stay strained in early 2026.
source: reuters.com
