|SWith distillate prices remaining higher than
usual as we moved from winter into the summer driving season in 2005, U.S.
refineries responded. U.S. refineries
have been running with unseasonably high distillate yields – more like winter
|SAs the chart shows, refinery, distillate
yields this summer were about 2% above normal, which translates to about 300
thousand barrels per day more distillate production.
|SThese high distillate yields allowed
distillate inventories to recover from the winter. And strong gasoline imports supported
|SAs the end-of-year high gasoline demand and
then hurricanes tightened gasoline supply relative to distillate, the
distillate yields began shifting down.