Episode 111: Saudi's pipeline is down. Every barrel funnels back through Hormuz.

Felipe Elink-Schuurman, Jay Maroo, Aaron Kildow and James Noel-Beswick break down the Petroline pipeline strike forcing Saudi crude back through Hormuz, freight rates hitting record highs, and diesel cracks near $100/bbl. The real constraint now is products, not crude, with no clear sign of demand destruction.

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Chapters: 

(01:40) Petroline strike and the Hormuz squeeze: Saudi's Yanbu pipeline takes a direct hit, Houthis seize Mocha, and barrels are forced back through Hormuz.

(06:25) Crude: Iraq's discount and Saudi's pincer: Iraq sells at steep discounts to move barrels via ADNOC as Saudi crude gets squeezed on every side.

(18:40) Freight: the Hormuz premium blows out: Rastanura to Ningbo nears $1 million a day as owners charge up to $500k extra to transit Hormuz.

(34:25) Fuel oil: Saudi's feedstock problem: Lost Red Sea refining capacity tightens hi-5 further, with LSFO diverted into conversion units instead of blending.

(38:53) Diesel: record cracks, closed arbs: Gasoil cracks near $100/bbl and Asian spreads hit decade highs, yet most European and Asian arbs stay shut.

(47:29) Gasoline and the missing demand destruction: Every signal says sell, but nobody's finding the demand destruction that should be capping this rally.