- Americans are officially driving less than they did in the summer of 2020 when travel restrictions due to the pandemic all but stopped transportation (BBG)
- The four-week average of U.S. gasoline consumption, the best indication of the country's demand, is currently more than 1 MMBbl/d below pre-Covid seasonal averages, according to EIA data
- U.S. refiners are reducing their gasoline yields in order to increase their production of diesel and jet fuel due to the low summer driving demand
- Refiners cut gasoline yield to 57.5% in July, compared with 60.9% a year earlier and 63.4% in July 2020, according to EIA data
- U.S., European, and Iranian diplomats are returning to Vienna on Thursday in an effort to revive the 2015 nuclear agreement (Reuters)
- U.S. Special Envoy for Iran Rob Malley will travel to Vienna but said he did not anticipate making much progress
- Meanwhile, Nasser Kanaani, a spokesman for Iran’s Foreign Ministry, said Tehran was ready to reach a deal that guarantees its rights
- The EU, which is coordinating the talks, has made a fresh proposal to rescue the landmark 2015 agreement, which eased sanctions on Iran, including on oil exports, in return for it curbing its atomic program
- Saudi Arabia increased oil prices for buyers in Asia to record highs even though there are signs of declining demand as economies slow
- State producer Saudi Aramco increased its Arab Light grade for next month’s shipments to Asia to $9.80/bbl above the regional benchmark
- That is a 50c increase from August. Traders and refiners anticipated a larger increase of $1.50 according to BBG
- Additionally, Aramco raised prices for all U.S. grades by 50 cents per barrel. It was the first change Aramco has made for U.S. customers since May