US cash crude – Diffs rise as spreads stay weak

HOUSTON, Aug 27 (BestGrowthStock) – U.S. cash crude differentials
strengthened Friday as front-month West Texas Intermediate
futures weakened against second-month WTI.

Light Louisiana Sweet (LLS-: ) sold for $3.95 a barrel over
WTI (CLc1: ), 55 cents stronger than Thursday. Mars sour (MRS-: )
dealt for $1.80 under, up 25 cents.

For other cash crude deals, see [CRU/TU].

The moves came as front-month WTI weakened against
second-month WTI. October WTI gained against October North Sea
Brent (CL-LCO1=R: ) but stayed weak.

Weak front-month WTI tends to strengthen cash crude
differentials because cash crude delivers against second-month
WTI and competes with imports priced against Brent.

On futures markets, October WTI (CLV0: ) gained $1.81 up
$75.17 a barrel. October Brent (LCOV0: ) climbed $1.63 to
$76.65.

The WTI-Brent spread (CL-LCO1=R: ) narrowed to $1.48 in favor
of Brent from $1.66 Wednesday. The WTI calendar spread (CL-1=R: )
widened 18 cents to $1.04 in favor of November.

Alaska North Slope crude (ASW-: ) was last announced selling
Thursday for $1.45 a barrel under WTI for October delivery,
weaker by 10 cents from sales announced Tuesday.

California crude buyers raised their posted prices $1.80 a
barrel.

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See (REF/MARGIN1: ) for Reuters’ generic refining margins

See (CL-1=R: ) for the WTI front/second month spread

See (CL-LCO1=R: ) for front month WTI/Brent futures spread

See (BFO-: ) for Reuters’ assessment of Dated Brent

See (0#FRT-: ) for Reuters assessed tanker rates

See (BRNV: ) for assessed domestic crude differentials

See (PPGR: ) for outright U.S. cash crude prices

See [REF/US] for a list of U.S. refinery outages

See [EIA/S] for U.S. EIA inventory reports and forecasts

See [CRU/TU] for recent cash crude deals
(Reporting by Bruce Nichols; Editing by David Gregorio)

US cash crude – Diffs rise as spreads stay weak