HOUSTON, July 20 (Reuters) - Most U.S. cash crude differentials strengthened on Monday as West Texas Intermediate futures weakened against later months and physical traders rushed to finish August slates, traders and brokers said.
Wider time spreads tend to boost cash grades. The approach of the end of the month added lift. With August WTI futures expiring Tuesday in New York, cash traders must balance their books by pipeline scheduling Friday and often pay more under deadline pressure.
Mars sour was the day's biggest gainer, rising 75 cents to change hands for 75 cents a barrel under WTI. Light Louisiana Sweet gained 15 cents to $2.50 a barrel over WTI on a day that started slow but ended busy, brokers said.
With the trans-Atlantic arbitrage window closed, lack of import alternatives is upping demand for both light sweets like LLS and intermediate sours like Mars and supporting differentials, analysts said.
On futures markets, August WTI gained 42 cents to $63.98 a barrel. September Brent bulked up $1.06 to $66.44. Both the September WTI-Brent and WTI time spreads widened, WTI-Brent to -$1.06 from -80 cents, front-month WTI to -$1.31 from -$1.02 at settlement Friday.
Among other cash crudes, Bonito light sour, unusually strong in recent days due to demand trends and pipeline shifts in the Gulf, went against the rising tide, falling 15 cents to 35 cents over WTI after skidding $1.00 Friday.
Heavy Louisiana Sweet rose 35 cents to +$1.95. Mars look-alike Poseidon added 42 cents to -88 cents. West Texas Intermediate at Midland climbed 20 cents to sell even with WTI. West Texas Sour rose 15 cents to -$1.60.
On the West Coast, Alaska North Slope crude for August sold even with WTI in its last disclosed deal.
Buyers raised posted prices for California crude 40 cents a barrel in line with the rise in NYMEX WTI.
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DATA LINKS: Energy Speed Guide Crude Speed Guide NYMEX WTI futures ICE Brent futures US crude prices US crude differentials Freight rates
NEWS LINKS: NYMEX Market reports ICE market reports US Cash crude deals Foreign crude deals Dirty tanker news Dirty tanker fixtures Weekly US oil data US crude outlook US Refinery outages US Cash oil products US products outlook ...........................................................
(Reporting by Bruce Nichols)
((Email: b.nichols@thomsonreuters.com; +1 713 210 8510; Reuters Messaging: bruce.nichols.reuters.com@reuters.net)) Keywords: MARKETS USCRUDE (For help: Click 'Contact Us' in your desk top, click here or call 1-800-738-8377 for Reuters Products and 1-888-463-3383 for Thomson products; For client training: training.americas@thomsonreuters.com ; +1 646-223-5546) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Wider time spreads tend to boost cash grades. The approach of the end of the month added lift. With August WTI futures expiring Tuesday in New York, cash traders must balance their books by pipeline scheduling Friday and often pay more under deadline pressure.
Mars sour was the day's biggest gainer, rising 75 cents to change hands for 75 cents a barrel under WTI. Light Louisiana Sweet gained 15 cents to $2.50 a barrel over WTI on a day that started slow but ended busy, brokers said.
With the trans-Atlantic arbitrage window closed, lack of import alternatives is upping demand for both light sweets like LLS and intermediate sours like Mars and supporting differentials, analysts said.
On futures markets, August WTI gained 42 cents to $63.98 a barrel. September Brent bulked up $1.06 to $66.44. Both the September WTI-Brent and WTI time spreads widened, WTI-Brent to -$1.06 from -80 cents, front-month WTI to -$1.31 from -$1.02 at settlement Friday.
Among other cash crudes, Bonito light sour, unusually strong in recent days due to demand trends and pipeline shifts in the Gulf, went against the rising tide, falling 15 cents to 35 cents over WTI after skidding $1.00 Friday.
Heavy Louisiana Sweet rose 35 cents to +$1.95. Mars look-alike Poseidon added 42 cents to -88 cents. West Texas Intermediate at Midland climbed 20 cents to sell even with WTI. West Texas Sour rose 15 cents to -$1.60.
On the West Coast, Alaska North Slope crude for August sold even with WTI in its last disclosed deal.
Buyers raised posted prices for California crude 40 cents a barrel in line with the rise in NYMEX WTI.
==========================================================
DATA LINKS: Energy Speed Guide Crude Speed Guide NYMEX WTI futures ICE Brent futures US crude prices US crude differentials Freight rates
NEWS LINKS: NYMEX Market reports ICE market reports US Cash crude deals Foreign crude deals Dirty tanker news Dirty tanker fixtures Weekly US oil data US crude outlook US Refinery outages US Cash oil products US products outlook ...........................................................
(Reporting by Bruce Nichols)
((Email: b.nichols@thomsonreuters.com; +1 713 210 8510; Reuters Messaging: bruce.nichols.reuters.com@reuters.net)) Keywords: MARKETS USCRUDE (For help: Click 'Contact Us' in your desk top, click here or call 1-800-738-8377 for Reuters Products and 1-888-463-3383 for Thomson products; For client training: training.americas@thomsonreuters.com ; +1 646-223-5546) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.