{"id":6869,"date":"2020-08-07T17:14:47","date_gmt":"2020-08-07T21:14:47","guid":{"rendered":"https:\/\/www.fundamentalanalytics.com\/?p=6869"},"modified":"2021-04-25T22:01:05","modified_gmt":"2021-04-26T02:01:05","slug":"can-the-heating-oil-crack-spread-go-lower","status":"publish","type":"post","link":"https:\/\/www.fundamentalanalytics.com\/es\/can-the-heating-oil-crack-spread-go-lower\/","title":{"rendered":"Can the Heating Oil Crack Spread Go Lower?"},"content":{"rendered":"

Can the Heating Oil Crack Spread Go Lower?
\n<\/strong><\/h3>\n

August 7, 2020<\/p>\n

Heating oil prices (ULSD futures) are at some of the lowest values in ten years.\u00a0 Below is plot of the December 2020 Heating Oil contract crack spread (black line), at $12.06 for the August 6, 2020 settle.\u00a0\u00a0 At this level the crack spread is not profitable for refiners.\u00a0 This spread reflects manufacturing and commercial activities which has been greatly reduced because of the Covid-19 pandemic.\u00a0\u00a0 We do not<\/u> believe this is an opportunity to go long the crack spread – low prices and low cracks do not necessarily signal a buying opportunity.\u00a0 In energy, if futures prices are low, they will often go lower.<\/p>\n

The chart below can be constructed in the Fundamental Analytics<\/strong> platform under Prices > Energy > WTI Crude Oil > Instruments & Spreads.<\/strong><\/p>\n

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If you have any questions, please contact our Managing Director, Joel Fingerman, at alexios.tyrakis@fundamentalanalytics.com<\/span><\/a><\/p>\n

We also invite you to read our other articles and follow us on social media!<\/p>\n

Best Regards,<\/p>\n

The Fundamental Analytics Team<\/p>\n

The information provided here is for general informational purposes only and should not be considered individualized investment advice. All expressions of opinion are subject to change without notice in reaction to shifting market conditions.<\/em><\/small><\/p>","protected":false},"excerpt":{"rendered":"

Can the Heating Oil Crack Spread Go Lower? August 7, 2020 Heating oil prices (ULSD futures) are at some of the lowest values in ten years.\u00a0 Below is plot of the December 2020 Heating Oil contract crack spread (black line), at $12.06 for the August 6, 2020 settle.\u00a0\u00a0 At this level the crack spread is […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[1],"tags":[],"class_list":["post-6869","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/www.fundamentalanalytics.com\/es\/wp-json\/wp\/v2\/posts\/6869","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.fundamentalanalytics.com\/es\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.fundamentalanalytics.com\/es\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.fundamentalanalytics.com\/es\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.fundamentalanalytics.com\/es\/wp-json\/wp\/v2\/comments?post=6869"}],"version-history":[{"count":4,"href":"https:\/\/www.fundamentalanalytics.com\/es\/wp-json\/wp\/v2\/posts\/6869\/revisions"}],"predecessor-version":[{"id":6874,"href":"https:\/\/www.fundamentalanalytics.com\/es\/wp-json\/wp\/v2\/posts\/6869\/revisions\/6874"}],"wp:attachment":[{"href":"https:\/\/www.fundamentalanalytics.com\/es\/wp-json\/wp\/v2\/media?parent=6869"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.fundamentalanalytics.com\/es\/wp-json\/wp\/v2\/categories?post=6869"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.fundamentalanalytics.com\/es\/wp-json\/wp\/v2\/tags?post=6869"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}