By Paul Sankey
Published on August 14, 2024 at 9:49 AM
A focus note for you today, on Darling and the California Low Carbon Fuel Standard which has been an important factor in the weakness in West Coast refining margins, that is bleeding into wider refining margin weakness vs current refiner earnings estimates for Q3. We show in this note that California diesel is now 60% renewable, with attendant pressure on refining margins there, as gasoline demand has peaked, and 25% of vehicle sales are electric. …
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By Paul Sankey
Published on June 27, 2024 at 10:08 AM
A friendly banker called this morning on today’s latest oil deal, by $SM, and let’s just slightly varnish this: He asked “What the fk are they doing?” $5bn market cap SM was seen as a takeover target. Stock is down -8% here. SM ENERGY ANNOUNCES HIGHLY ACCRETIVE $2.0 BILLION UINTA BASIN ACQUISITION, 11% INCREASE TO FIXED DIVIDEND AND RELOADED $500 MILLION SHARE REPURCHASE PROGRAM I couldn’t provide a value add answer to his question, but …
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By Paul Sankey
Published on May 5, 2024 at 6:51 PM
Well personally, I feel like I got run over by Fed Chair Jay Powell last week, because I expected him to be hawkish, but he was dovish, simple as that. Guess there’s enough evidence of economic slowdown, for him to think that interest cuts are coming. CNBC May 1st 2024: Federal Reserve Chair Jerome Powell said it was unlikely that the central bank’s next move will be a rate hike. The comment spurred a rally …
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