lower crack spread is due to govt interference to fight rising inflation so as to bring down d price of car fuels n gas to help d consumers! these can b in d form of subsidy (govt commitment/moves to absorb d difference of product cost n selling/pump cost ), fuel tax cut (lower taxable profit on oil & gas companies) n pushing d oil n gas companies to increase production to meet supply n demand of crude! the sanctions on Russia's oil n gas has resulted in high shortages of oil n gas globally especially in EU countries! the increasing oil n gas production has helped to control d rising prices of these products but a lower crude price do help d refiners on their profit margins of crack spreads!

so, a lower crack spread has slightly impacted d profit of refiners but current crack spread is still at all time high! these r reflected in their higher revenue n profit report!

Voices: Russia is about to play its most dangerous cards and the west is not ready.

A few weeks ago, the US bank JP Morgan offered an apocalyptic warning that barely made a ripple outside the financial press. It said that if Russia completely halted oil exports, the shock to the world economy could be so large it would instantly quadruple the price of oil to nearly $400 a barrel. Right now, it’s hovering at around $100 a barrel.

Since the world is still heavily reliant on oil, the shock to the world economy would be far worse than during the 1970s and plunge us into a deep recession.

does fuel tax duty cut undertaken by US n other countries to bring down retail gasoline prices affect d profit margin of oil refiners?

just got my 20 cent dividend yesterday! d price is so low now due to d dropped in crack spread but d retailing margin is still profitable as compared to before d covid19 pandemic n Russian's oil sanction!

Petronm 31st Dec. '21 final dividend of 20 cent payment today!

Saudi Arabia is charging Asian buyers near-record prices for oil as demand soars and supply remains pressured.

Saudi Arabia will raise oil prices next month for Asian buyers to $9.30 a barrel above the regional benchmark.

Prices from of the world's largest oil producers have skyrocketed past other countries in the Middle East.

Although OPEC+ agreed to raise production in July and August, experts say it'll be hard to meet targets.

Catsimatidis, New York billionaire and refiners aid in the interview on Fox that there’s only one fix for the current inflationary spike—a big part of which is due to soaring energy costs.

“We have 100 years’ worth of oil,” he said. “Open up the spigots.”

“If we open up the spigots and flooded the market with oil, with crude oil, American crude oil, we bring the price of oil back” and “inflation goes away,” Catsimatidis said.

The trend of high gasoline production is set to continue in the near future as refiners run at full tilt to take advantage of the high refining margins. The crack spreads are well above historical averages due to low inventories both in the U.S. and globally, fuel demand rising to near pre-pandemic levels, and lower product exports from Russia, the Energy Information Administration said last month. The EIA expects America’s refinery utilization to reach a monthly average level of 96% twice this summer, “near the upper limits of what refiners can consistently maintain.”
In its June Short-Term Energy Outlook (STEO), the administration forecast that U.S. refinery utilization would be relatively high this summer in response to strong wholesale prices for petroleum products. These petroleum product prices have increased more than the price of the crude oil used to make them.

Saudi Arabia increased next month’s oil prices for its biggest market of Asia amid signs that underlying demand remains robust despite growing recessionary concerns.

State producer Saudi Aramco raised its key Arab Light crude grade for Asian customers by $2.80 a barrel from July to $9.30 above the regional benchmark, almost a record high. The move was roughly in line with expectations, according to a Bloomberg survey of refiners and traders last week.

Still, most Wall Street analysts remain bullish about oil prices. Western sanctions on Moscow following its attack have disrupted flows of crude and refined products from Russia. In Asia, many refineries are almost running at full capacity and have seen their margins soar, enabling them to accept higher prices for crude from Saudi Arabia and other producers in the Persian Gulf.

Aramco’s pricing decision came days after OPEC+ -- led by Saudi Arabia and Russia agreed to raise crude output next month by 648,000 barrels a day. Yet most of the cartel’s members are struggling to boost supply and are expected to hit only 50%-70% of their collective target.

Oil and gas companies have emerged as the only bright spot in a deeply bearish U.S. stock market, thanks to soaring commodity prices fuelled by the war in Ukraine.

The S&P 500 ended H1 2022 with a 20.6% fall, marking its worst H1 since 1970. In sharp contrast, the S&P 500 energy sub-index, comprising 21 big oil and gas groups, jumped 29.2% in the year-to-date and stands out as the only sector in the green so far in the year.

Although the oil price rally appears to have stalled over the past month, thus capping further gains for the energy sector, a cross-section of Wall Street believes that oil prices still have plenty of upside. One such bull is J.P. Morgan Chase, which last week warned that global oil prices could climb to a "stratospheric" $380/bbl if G7 nations succeed in imposing caps on the price of Russian oil and prompt Vladimir Putin to inflict retaliatory production cuts. "The most obvious and likely risk with a price cap is that Russia might choose not to participate and instead retaliate by reducing exports. It is likely that the government could retaliate by cutting output as a way to inflict pain on the West. The tightness of the global oil market is on Russia's side," JPM analysts wrote.

Oil and gas companies have emerged as the only bright spot in a deeply bearish U.S. stock market, thanks to soaring commodity prices fuelled by the war in Ukraine.

The S&P 500 ended H1 2022 with a 20.6% fall, marking its worst H1 since 1970. In sharp contrast, the S&P 500 energy sub-index, comprising 21 big oil and gas groups, jumped 29.2% in the year-to-date and stands out as the only sector in the green so far in the year.

Although the oil price rally appears to have stalled over the past month, thus capping further gains for the energy sector, a cross-section of Wall Street believes that oil prices still have plenty of upside. One such bull is J.P. Morgan Chase, which last week warned that global oil prices could climb to a "stratospheric" $380/bbl if G7 nations succeed in imposing caps on the price of Russian oil and prompt Vladimir Putin to inflict retaliatory production cuts. "The most obvious and likely risk with a price cap is that Russia might choose not to participate and instead retaliate by reducing exports. It is likely that the government could retaliate by cutting output as a way to inflict pain on the West. The tightness of the global oil market is on Russia's side," JPM analysts wrote.

At present, the bank’s economists do not expect the US to dip into recession. “For oil, the historical evidence suggests that oil demand goes negative only in the worst global recessions,” the Citi analysts said in the July 5 note. “But oil prices fall in all recessions to roughly the marginal cost.”

looked at PetDag, today up 94 cent (4.54%) doing similar business like HengYuan n Petronm (better fundamental)!

still see strong interest by investors on Hibiscus!

Gas prices are soaring as Western sanctions on Russian energy have cut supply of refined products and there's a growing possibility of an even bigger drop-off in Russian output. It's been worsened by operational struggles at refineries after the impact of COVID-19 and years of under-investment in the industry, said Vitol's Head of Asia and other oil products Mike Muller.

In the US, the national average for a gallon of regular gasoline is $4.81, compared with last year's $3.13, according to data from the AAA. The rise in costs is a factor ultimately driving red-hot inflation in across the country, in which inflation rose by 8.6% through May to reach its highest in 41 years.

President Joe Biden on Thursday didn't appear to be able to offer much in the way of relief for American drivers, however, saying there may be no end in sight to rising fuel costs. High gas prices will continue for "as long as it takes," to punish Russia for its invasion of Ukraine, he said.

Addressing Asia, Muller doubts that China, which is a huge exporter of refined products, will increase their export quotas in the near future meaning gas prices may stay high.

low trading volumes! obviously, selling price is controlled by certain parties! has d current price bottomed or will go lower? profit margin for crack spread still high although has dropped slightly!

KUCHING, June 23 — Minister in the Prime Minister’s Department (Economy) Datuk Seri Mustapa Mohamed today said the federal government may have to come up with RM30 billion this year for fuel subsidies alone, over 170 per cent higher than the RM11 billion for 2021.

Guess how much Petronm will get from d RM30billion subsidy every quarter?

Date : 22/06/22
Crack Spread Futures : USD33.481 (+1.327 or + 4.13%)

HENGYUAN:
EPS=37.94cent
PE = 12.02 times

most stocks were hammered down today as KLCI dropped 26.78 points to settled at 1431.10 points. If tonite US market r all green, should see a strong buying pushing up d price!

poor guy going kuku! i clearly see CPO price dropping everyday since 7th June until now!

is it gud new? najib says d price of RON95 can b raised by 10 to 20 sen n export duty on palm oil increased to help d lower income group!

is it gud new? najib says d price of RON95 can b raised by 10 to 20 sen n export duty on palm oil increased to help d lower income group!

is it gud new? najib says d price of RON95 can b raised by 10 to 20 sen n export duty on palm oil increased to help d lower income group!

Date : 21/06/22
Crack Spread Futures : USD32.154 (+0.114 or + 0.36%)

HENGYUAN:
EPS= 37.94 cent
PE = 12.39 times

do invest wisely with ur hard earned money! many singkalang sifu in I3Forum!
fyi, chicken price has increased from RM10/kilo to RM14/kilo! that's a deep cut on ur purse n a hard knocked on ur head!

sailang at 7.40 magic number!

Posted by pang72 > 2 minutes ago | Report Abuse
Sell 4.70 buy back rm12 waiting Q2 record earning?
This mathematic tak Betul leh

lol! today happy n act kuku! tomorrow should b crazy!

believe or not? most tech stocks r still over-valued in bursa eg. new ipo SFPTech from 30cents to 70 cent! anyway, see how d Nasdaq n S&P 500 performed tonight!

boom pipi up 8%!

boom pipi up 6%!

Date : 17/06/22
Crack Spread Futures : USD32.04 (+1.044 or + 3.37%)

HENGYUAN:
EPS=37.94cent
PE = 11.44 times

PetDag, PetGas, Hengyuan n Petronm r beneficiaries of current Petroleum Crisis.

have it ever crossed ur mind that d sharp price hike of refinery products like diesel n gasoline r a major reasons causing inflation now in US, Europe n others non oil producing countries in Asia Pacific Regions? d spikes in crack spread price n oil refineries inability to meet its demand r causing an unprecedented global fuel crisis that will prolonged n not solved overnight!

pardon, why PetDag n PetGas still in green?

market so bad 70 cent coming!

maybe hot for this wk n then pandalela!

calling price too high! don't get trapped!

should v consider buying a new IPO shares when market is tanking of inflation?

tomorrow dividend of 20 cent ex-date! they said stocks that gives high dividend during inflation/market clashed is considered gud investment! agreed?

at PE 12.52 times, Hengyuan price can fall somemore in this bad market!

CPO price dropping is happening now! trade cautiously!

@Ahahah, okay still buying d dips!

Oil Nosedives on Fed Inflation Actions
Oil fell the most in three months due to Federal Reserve Chair Jerome Powell doubled down on his determination to curb the hottest inflation in decades with more aggressive rate hikes. For the first time, raising interest rates could result in an economic downturn and could blunt energy consumption. In the long run, supplies still look tight, market participants said.

Is this Good News for Petronm?
On Friday, Russia's Deputy Prime Minister Alexander Novak said throughput at the nation’s refineries could fall 10% this year.

Oil Nosedives on Fed Inflation Actions
Oil fell the most in three months due to Federal Reserve Chair Jerome Powell doubled down on his determination to curb the hottest inflation in decades with more aggressive rate hikes. For the first time, raising interest rates could result in an economic downturn and could blunt energy consumption. In the long run, supplies still look tight, market participants said.

bursa better stopped all these bonus issues, shares splits, shares consolidation, PP, ESOS n new warrants until d economy recover!

What has inflation n Fed raising interest rate got to do with d price of Petronm?

Global Fuel Crisis Likely to Stay Unfixed. Can d fanning inflation not a cause by d unprecedented global shortage of petrol, diesel, gas n jet fuel? Prices for middle distillates have surged in recent weeks. “There is little hope that the undersupply will ease in the near future given strong demand growth and constrained refinery output,” the IEA said. The agency’s forecast for future refining processing is “not sufficient to fully meet middle distillates demand in 2022 or in 2023.”

@ SMInvest, d RM140m to RM160m is PBT or net profit? also, is d EPS at 12 -13 sen reflect d PBT or NP? thanks! do u think d current traded price is grossly undervalue fallen below d BI (4:1) ex-date price@ 3.56?

market really bad might prolonged! i oredi cashed out most of it last Thursday!

market really bad might prolonged! i oredi cashed out most of it last Thursday! now breakeven small exposure!

this MM managed to bring down Hengyuan price so that everyone can buy!

oh yeah, sanctions on Russian's oil n Russian's oil embargo will stayed for a very long time!