Light Louisiana Sweet , another coastal grade,
firmed 25 cents at a midpoint of a $2.50 premium, strongest
since March 24. LLS has strengthened for five straight sessions.
Both grades gained despite U.S. crude's discount to
international benchmark Brent narrowing. A narrower discount
makes U.S.-linked grades less attractive to foreign buyers.
U.S. crude oil inventories rose by about 3.6 million barrels
in the week ended May 5, according to market sources citing
American Petroleum Institute figures on Tuesday. U.S. government data on stockpiles is due on Wednesday.
* Light Louisiana Sweet for June delivery gained 25
cents at a midpoint of a $2.50 premium and was seen bid and
offered between a $2.40 and $2.60 a barrel premium to U.S. crude
futures ?
* Mars Sour gained $1.60 at a midpoint of a $1.6
premium and was seen bid and offered between a $1.50 and $1.7 a
barrel premium to U.S. crude futures ?
* WTI Midland was unchanged at a midpoint of a
75-cent premium and was seen bid and offered between a 65-cent
and 85-cent a barrel premium to U.S. crude futures ?
* West Texas Sour was unchanged at a midpoint of a
parity and was seen bid and offered between a discount of 40
cents?? and 40-cent a barrel premium to U.S. crude futures ?
* WTI at East Houston , also known as MEH, traded
betweena 80-cent and $1.00 a barrel premium to U.S. crude
futures ?
* ICE Brent July futures rose 43 cents to settle at
$77.44 a barrel on Tuesday?.
* WTI June crude futures rose 55 cents to settle at
$73.71 a barrel on Tuesday?.
* The Brent/WTI spread last narrowed to about
minus $3.82 a barrel, after hitting a high of minus $3.70 and a
low of minus $3.95.
(Reporting by Stephanie Kelly; Editing by Richard Chang and
Deepa Babington)
May 9 (Reuters) - Coastal grade Mars Sour surged on
Tuesday for its sixth consecutive session, dealers said, with
the grade skyrocketing to its highest since September 2020, as
demand for sour crude rose.
Supply has also been more constrained, one trader said, with
Shell Pipeline Co's Zydeco oil pipeline shut starting in late
April. The pipeline shut after a limited release of crude oil
was detected from it.
Mars Sour gained $1.60 at a midpoint of a $1.6
premium to U.S. crude futures , its strongest since
September 2020.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.