Chicago, Group 3 Spot Product Prices Posting Gains Midday
2/23 11:57 AM
Chicago, Group 3 Spot Product Prices Posting Gains Midday BURLINGTON, Vt. (DTN) -- Spot market finished oil product prices are higher at midday Friday, riding a fresh upside advance in benchmark RBOB and ULSD oil futures traded on the New York Mercantile Exchange. Trading has been lackluster in heartland markets, with many marketers opting out of chasing spot prices higher fueled by a technically based futures market surge. Analysts continue to cite the continuing decline in crude oil stocks at the Cushing, Oklahoma, oil supply depot as behind the oil futures rally, while shrugging off exports of U.S. crude oil that surpassed the 2.0 million bpd mark for only the second time in recent history. The release this afternoon of the U.S. oil rig count by Baker Hughes could affect the velocity of the upturn in NYMEX crude oil futures. March RBOB oil futures were 3.33cts higher at midday trading $1.7990 gallon, trailed by a 1.52cts advance in the spot month ULSD contract to $1.9679 gallon. Crude oil for April NYMEX delivery was posting a $0.81 advance printing $63.58 bbl at press time. Group 3 ultra-low sulfur X-grade diesel fuel has sold for prompt Magellan Pipeline delivery at par with the March ULSD futures contract that boosted spot price by 1.52cts to $1.9679 gallon. Chicago ULSD is assessed at a 6.0cts MERC discount for third cycle February generic pipeline delivery that lifts implied spot price 1.77cts above its Thursday DTN closing market posting to $1.9079 gallon. V-grade regular suboctane in Group 3 has backtracked 175pts in cash differential, tagged at a 0.25cts futures premium that limits spot price to a 1.58cts advance to a notional $1.8015 gallon for prompt offline Magellan Pipeline delivered supply. Chicago 13.5-lb. CBOB is offered for prompt generic pipeline delivery 16.0cts below the March RBOB futures print that moves spot price 2.83cts higher to a notional $1.6390 gallon. G. Bud deGorgue, 1.802.524.1784, bud.degorgue@dtn.com, www.dtn.com. (c) 2018 DTN. All rights reserved.