Goldman Sachs recommends going long on mid-2027 European gasoline, stating there is greater upside potential for prices.

Goldman Sachs stated that as global fuel market supply tightness spreads, gasoline prices are expected to rise further. The bank has adjusted its trading strategy, shifting focus from diesel to this widely used automotive fuel. Analysts, including Yulia Zhestkova Grigsby and Daan Struyven, noted in a report: "The key reason behind this new recommendation is that refiners are shifting production from gasoline to diesel, which has led to a rapid tightening of gasoline market supply." In the September 16 report, analysts said that although diesel prices may still increase further, gasoline currently offers "greater upside price potential" due to factors such as more resilient demand and relative changes in inventories. Therefore, the bank has closed its previous trading positions on different diesel contract spreads (i.e., time spreads) and recommends establishing long positions in European gasoline for mid-2027.