Gasoline prices are rising faster than crude oil benchmarks, driven by widening refining margins known as the crack spread.
This divergence highlights how supply constraints at the refining stage are amplifying cost pressures for end consumers, even as crude markets show signs of stabilization.
This dynamic is particularly acute in the US market, where gasoline prices have climbed above the $4 per gallon threshold.
The widening gap between crude and refined products indicates that refiners are passing through higher costs or capturing greater margins due to tight supply.
This dynamic is particularly acute in the US market, where gasoline prices have climbed above the $4 per gallon threshold.
The level has become a significant political liability for the Republican Party ahead of the September midterm elections, adding a layer of policy risk to the energy sector.
In Canada, the pressure is also evident.