Distillate Demand is Unusually Strong

Heat cracks are trading on the defensive, but solid demand for distillates and declining supply, should help crack prices stabilize in the coming months.  Most of the change in diesel prices comes from changes to the price of crude oil.  While OPEC has stuck to their end of the bargain, in attempting to rebalance global inventories, non-OPEC producers have seen only a 60% compliance.  Additionally, U.S. Producers…