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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