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      Diesel Crack Hits Record High Amid Global Supply Disruptions

      The premium of diesel futures over West Texas Intermediate crude, known as the diesel crack, has reached a record $102.20 per barrel. This surge is attributed to global supply disruptions linked to ongoing conflicts in Iran and Ukraine, coinciding with peak agricultural consumption season. Analysts predict that these elevated refining margins will eventually lead to increased costs for consumers and businesses, particularly in transport and logistics, as demand for diesel-powered equipment and heating oil rises heading into winter.

      In related news, a vessel was reportedly struck by a projectile while transiting the Strait of Hormuz, resulting in engine room damage and a crew casualty. This incident adds to the already fragile situation in the strait, especially following the expiration of a 60-day US-Iran memorandum of understanding, which has heightened concerns over regional stability and its impact on oil markets.

      Asian equities displayed mixed performance, with Japan's Nikkei and Topix indices experiencing declines, while South Korea's KOSPI showed initial strength before pulling back. Chinese mainland indices also reported lower figures as the market reacted to various economic indicators, including a rise in Japan's 10-year government bond yield to approximately 2.95%, the highest level since September 1996. Meanwhile, the Reserve Bank of India is expected to intervene in the foreign exchange market to support the rupee, which is trading near record highs against the US dollar.

      © 2026 KLEA News. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

      Source: KLEA News

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