Goldman Sachs says diesel will likely remain elevated through 2027 as constrained refining capacity and renewed government and corporate restocking lift demand. Nikhil Bandari, co‑head of Asia‑Pacific natural resources research at Goldman, said prices need to stay high enough to induce some demand suppression next year to prevent demand from outstripping refining capacity. Goldman expects global diesel and jet‑fuel crack spreads (product vs. crude) to average above $40/bbl in 2027 — more than tw

Goldman Sachs says diesel will likely remain elevated through 2027 as constrained refining capacity and renewed government and corporate restocking lift demand. Nikhil Bandari, co‑head of Asia‑Pacific natural resources research at Goldman, said prices need to stay high enough to induce some demand suppression next year to prevent demand from outstripping refining capacity. Goldman expects global diesel and jet‑fuel crack spreads (product vs. crude) to average above $40/bbl in 2027 — more than twice normal. Bandari added that any demand rebound would force refinery run rates to climb to the highest levels seen in the past 20 years.