· Europe heavy-grade premium to light grades narrows, especially for Group I base oils.· Europe Group II prices stay unusually competitive vs Group I prices.· Competitive Europe Group II prices, ready availability of Group II supplies and tighter availability of Group I base oils could incentive more widespread switch to the premium-grade base oils.· Increasingly steep premium of approved Group III base oils to unapproved Group III and to Group II base oils incentivizes blenders to minimize consumption of approved supplies.· Europe’s Group III 8cst premium to Group II heavy grades continues to narrow, incentivizing buyers to procure more Group III 8cst.· Asia Group I bright stock premium to SN 500 stays narrower; SN 500 premium to SN 150 narrows.· Asia Group II light-grade premium to Group I narrows, stays wider than usual.· US Group II heavy-grade premium to light grades stays wide, contrasting with Europe and Asia.· Wide gap between domestic and export base oils prices in most markets incentivizes refiners to focus on regional demand..Global base oils – week of July 3: Price outlook - margins
