Principal Asset Management flags record diesel crack spreads as refined products supply tightens

Principal Asset Management flagged record distillate crack spreads, driven by tight refined-product supply, not only Strait of Hormuz risks. Over 12 months, crude rose about 55%; distillate crack spreads jumped more than 260% in Europe and the US. WTI 3-2-1 crack spread climbed about 183%, pointing to stress concentrated in middle distillates. NYMEX ULSD crack spread sits 4.5 standard deviations above the 10-year mean; ICE Gasoil is 5.1 deviations above. European diesel inventories fell about 23% over 12 months, raising vulnerability to further supply shocks across refined products. Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Principal Asset Management Ltda published the original content used to generate this news brief on October 13, 2026, and is solely responsible for the information contained therein. (C)