Q1 2021 Outlook for US Base OilsGroup III Group III tightness will continue as refinery rates stay reduced to manage fuels supplies. Firm pricing could drive buying activity in January, especially as finished lubricants prices are expected to rise later in the month. Global demand will remain strong, keeping balances tight.
Demand typically picks up in Q1. However, it remained unusually strong in Q4, so it is unclear if any uptick will be notably different. Demand ahead of finished lubricant increases is likely.
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