- According to sources cited by Bloomberg, the White House is weighing oil product (gasoline, diesel, etc.) export limits.
- The limits under consideration would fall short of a comprehensive ban, according to Bloomberg sources.
- Curtailing exports could have geopolitical repercussions, as Europe struggles with product shortages as well.
- West Coast (CVX) (PARR) and Northeast (DAL) refiners could benefit from higher prices, as the two regions would likely still require imports; however, Gulf Coast (VLO) (MPC) (PBF) product markets could become rapidly oversupplied.
- Waiving the Jones Act would increase the ability for refiners in the Gulf to move product to other regions of the country.
- For speculation on first-order outcomes of a ban, see this post about the ongoing refining crisis.
Source: Seekingalpha.com