The biggest oil supply squeeze is currently in diesel markets amid the lowest global refining activity for this time of year since the 2020 pandemic, Goldman Sachs says. Diesel is “at the epicenter” of the fuel supply crunch, according to the Wall Street bank. For diesel specifically, global exports have dropped this month by about 35%, or by 2.6 million bpd, according to estimates by Goldman Sachs. As a result, the middle distillate markets continue to tighten and inventories are below the seasonal average, setting the stage for even tighter markets if supply is further squeezed, the investment bank said. Refining margins held at record highs even as crude oil prices soared last week to $100 per barrel.