8 Jan 2021 Featured in: Americas Weekly - Issue 1

Research Highlights - Week 1

With holiday-induced traveling set to ease and infection rates hitting new highs, the fast recovery of US jet demand is coming under considerable risk (see Americas Weekly – Issue 01).

  • US implied jet demand registered a rebound over November and December. Stocks drew notably over the same time period as a consequence thereof.

  • We expect the further near-term demand recovery to flatten out, as near downside risk remains prominent and the holiday-induced spike in passenger throughput is expected to fade away.

  • From that perspective, the returning naphtha tonne premium over jet could lead to some temporary weakening of jet yields over the coming weeks.