Drop in Global Gas Prices Dents Refiners’ Profits

Drop in Global Gas Prices Dents Refiners’ Profits
Gas prices over the $6.00 mark are advertised at a 76 Station in Santa Monica, Calif., on May 26, 2022. Lucy Nicholson/Reuters
Reuters
Updated:

A drop in global gasoline prices in the past two weeks has dented refiners’ profits, pushing up inventories in key trading hubs around the world while looming exports from China and India also add to pressure on growing stockpiles.

Refiners will be forced to cut gasoline output to safeguard themselves against losses and switch to producing more profitable fuels, traders say, but summer demand is also being hurt by high pump prices in the United States and Europe, and by instability and easing seasonal demand in some parts of Asia.