RE:Record Crack spread $68.74What are the crack spreads for Q1?
My guesss is an average about $20?
No doubt Q2 will be fantastic.
lifeisgood1010 wrote: Being invested in SU, i track carefully the crack spread.
The last time i posted it on this board, it was at and all time high
Everytime i think that this can't go higher, it proves me wrong.
Crack spread(The profits that a refiner make by converting oil into gasoline and heating and diesel)
It was $46.22 on March 4th
It's a fonction of the price of gasoline and heating oil vs the price of oil.
Surely, the profitability fluctuate for each refiners depending on the price of the feadstocks
they pay and the price they get for the end products.
But all in all, the calculation of the crack spread will gives you a very good indication of
the profitability of a refiner.
And right now, they stand a record high and that is BIG TIME RECORD HIGH.
If i look back at my spread sheet that goes back to 2007, i would say that the average spread is in the mid to high teens.
The lowest i have on record is $4.13
Right now, it's at $68.74.It crossed the $50 mark on April 13th and it keeps on climbing.
I don't think these incredible margins are priced in the stock.