USGC Weekly: CBOB Drops 6.5%; Jet Fuel Rises


   
Miguel E. Andujar
DTN Refined Fuels Market Reporter

   DAVENPORT, FL (DTN) - U.S. Gulf Coast CBOB regular posted the sharpest 
weekly decline among the region's major refined products during the week ending 
October 23, falling more than 6%, while jet fuel strengthened and ULSD eased 
from the previous week's elevated average.

   CBOB regular averaged $2.9716 gallon through Thursday, down 20.76cts, or 
6.53%, from $3.1792 gallon the previous week. Even after the weekly decline, 
the average remained $1.2300, or 70.62%, above the $1.7416 gallon recorded 
during the comparable week in 2025, DTN data showed.

   ULSD averaged $4.7247 gallon, down 7.86cts, or 1.64%, from the previous 
week. Prices remained more than double year-earlier levels, rising $2.4229, or 
105.26%, from the $2.3018 gallon average during the comparable 2025 week.

   Jet fuel bucked the broader weekly decline, averaging $4.6137 gallon, up 
8.69cts, or 1.92%, from the previous week and $2.3694, or 105.57%, above the 
$2.2443 gallon average recorded during the same week last year.

   EIA data for the week ended October 16 showed Gulf Coast distillate 
inventories rebounded from the previous week's decline, while gasoline and jet 
fuel supplies decreased. Commercial crude stocks fell by another 5.1 million 
bbl to 229.3 million bbl, marking a third consecutive weekly draw and taking 
inventories below the 230.6 million bbl reported at the end of July.

   Refinery activity remained an important backdrop for Gulf Coast supply. 
Valero reported this week that its FCC optimization project at the 340,000-bpd 
St. Charles refinery in Louisiana was completed during the third quarter, 
expanding the facility's capability to produce alkylate and gasoline.

   Separately, repairs remain underway on a damaged distillate hydrotreater at 
Valero's 435,000-bpd Port Arthur refinery in Texas, with mechanical completion 
targeted by the end of the fourth quarter. The company has reported normal 
refinery throughput. No new Gulf Coast refinery outages were reported during 
the week.




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