SINGAPORE, Sept 30 (Reuters) - Asia's cash discounts for 10 ppm gasoil remained unchanged on Wednesday, while refining margins for the industrial fuel rose as raw material crude prices weakened amid demand concerns. The regional gasoil market has adequate supplies, while a recovery in demand has taken a hit due to a resurgence in COVID-19 cases in several countries, trade sources said. Cash discounts for 10 ppm gasoilwere unchanged at 53 cents a barrel to Singapore quotes. Refining profit margins, or cracks, for 10 ppm gasoil were at $3.09 a barrel over Dubai crude during Asian trading hours, 70 cents higher than Tuesday. Cracks for the benchmark gasoil grade in Singapore, which have gained about 42% over the last week, are still at their weakest seasonal levels on record, according to Refinitiv Eikon data that goes back to 2014. "Focusing further on gasoil's historic weakness, we see little chance of cracks managing any sustained increase over the next few weeks," consultancy JBC Energy said in a note. AIR PASSENGER DATA - IATA - The International Air Transport Association (IATA) has downgraded its 2020 airline traffic forecast to reflect a weaker-than-expected recovery. It now expects full-year passenger traffic to decline 66% from last year, compared with the earlier estimate for a 63% decline. - Global air passenger traffic for August showed demand was down 75.3% from a year earlier, only a slight improvement from a 79.5% annual decline in July, the IATA said on Tuesday. - "August's disastrous traffic performance puts a cap on the industry's worst-ever summer season," Alexandre de Juniac, IATA's chief executive officer, said in a statement. "International demand recovery is virtually non-existent and domestic markets in Australia and Japan actually regressed in the face of new outbreaks and travel restrictions." - August passenger traffic for Asia-Pacific airlines dived 95.9% compared with a year-earlier period, nearly in line with the plunge in July, according to IATA data. - Among regional markets, India's domestic passenger demand was down 73.6% in August year-on-year, while passenger demand in Japan was 68.6% lower compared with the corresponding period last year, the IATA said. INVENTORIES - Middle-distillate inventories in the Fujairah Oil Industry Zone slipped 7.9% to 4.3 million barrels in the week ended Sept. 28, data via S&P Global Platts showed. - The weekly stocks in Fujairah have averaged 3.9 million barrels so far in 2020, compared with the weekly average of 2.4 million barrels in 2019, Reuters calculations showed. - Meanwhile, U.S. distillate fuel inventories fell by 3.4 million barrels, compared with expectations for a draw of 917,000 barrels, data from industry group the American Petroleum Institute (API) showed on Tuesday. SINGAPORE CASH DEALS - Two gasoil deals, no jet fuel trades MID-DISTILLATES CASH ($/T) ASIA CLOSE Change % Change Prev Close RIC Spot Gas Oil 0.5% 42.05 -0.61 -1.43 42.66 GO 0.5 Diff -1.90 0.06 -3.06 -1.96 Spot Gas Oil 0.25% 42.45 -0.61 -1.42 43.06 GO 0.25 Diff -1.50 0.06 -3.85 -1.56 Spot Gas Oil 0.05% 42.87 -0.49 -1.13 43.36 GO 0.05 Diff -1.08 0.18 -14.29 -1.26 Spot Gas Oil 0.001% 43.42 -0.67 -1.52 44.09 GO 0.001 Diff -0.53 0.00 0.00 -0.53 Spot Jet/Kero 40.03 -0.92 -2.25 40.95 Jet/Kero Diff -1.03 -0.08 8.42 -0.95 For a list of derivatives prices, including margins, please double click the RICs below. Brent M1 Gasoil M1 Gasoil M1/M2 Gasoil M2 Regrade M1 Regrade M2 Jet M1 Jet M1/M2 Jet M2 Gasoil 500ppm-Dubai Cracks M1 Gasoil 500ppm-Dubai Cracks M2 Jet Cracks M1 Jet Cracks M2 East-West M1 East-West M2 LGO M1 LGO M1/M2 LGO M2 Crack LGO-Brent M1 Crack LGO-Brent M2 (Reporting by Koustav Samanta; Editing by Subhranshu Sahu)
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