Gulf Coast,NYH Spot Oil Products Ride Futures Rally Higher
12/14 5:11 PM
Gulf Coast,NYH Spot Oil Products Ride Futures Rally Higher BURLINGTON, Vt. (DTN) -- Spot market oil product prices at the Texas Gulf Coast and in New York Harbor halted the recent bloodletting Thursday on an upside sweep in benchmark oil futures on the New York Mercantile Exchange fueled by tide-turning fundamental market news. Cash business was active for gasoline in both open market trading hotspots. RBOB futures turned higher on news a reformer was shut on Thursday after a fire in the East Plant at Citgo Petroleum Corp's 157,500 bpd Corpus Christi, Texas, refinery. Estimates were not available on unit downtime. The Paris-based International Energy Agency released a monthly report indicating it expects the oil market to carry a surplus of 200,000 bpd during the first six months of 2018, then reverting to a 200,000 bpd deficit during the second half of the year. The IEA said U.S. crude oil output next year will increase by 870,000 bpd, up from its November forecast of 790,000 bpd, and the U.S. shale oil industry is on track to deliver up to 80% of global oil production gains through 2025. January NYMEX RBOB futures posted a 2.4cts session gain settling at $1.6707 gallon, and the January ULSD contract edged 0.55cts higher to $1.9099 gallon at today's formal session close. January WTI crude oil futures climbed $0.44 to $57.04 bbl at settlement. Gulf Coast 13.5-lb. M4 regular no lead gained 80pts in basis and 3.2cts in spot price to $1.6362 gallon, trading for shipment on Colonial Pipeline's 71st cycle at a 3.45cts January futures discount. V4 premium unleaded backtracked 0.85cts to a notional $1.7082 gallon, rated at a 7.2cts regrade. A4 CBOB climbed 3.15cts to an implied $1.6037 gallon, indexed at a 6.75cts MERC discount for prompt cycle CPL transport, and F4 RBOB remained tagged at price parity with A4 for 71st cycle CPL consignment. F5 15.0-lb. winter grade RBOB in New York Harbor was reported sold to prompt barge 0.35cts below the January futures print that lifted spot price by 2.3cts to $1.6672 gallon. CBOB sold for cycle 353e Buckeye Pipeline transport at MERC level lifting spot price 2.4cts above its day-prior closing assessment to $1.6707 gallon. PBOB headed 2.65cts higher to $1.7557 gallon on a prompt trade booked at an 8.5cts futures premium, and high-octane CBOB was rated at a 9.0cts MERC premium. Ultra-low sulfur 62-grade diesel fuel at the Gulf Coast edged 0.8cts higher to $1.8289 gallon, trading for shipment on Colonial Pipeline's 71st cycle at an 8.1cts January ULSD futures discount. New York Harbor ULSD posted a 0.7cts advance to a notional $1.9024 gallon, offered at a 0.5cts MERC discount for prompt barge or Buckeye Pipeline transit. G.Bud deGorgue, 1.802.524.1784, bud.degorgue@dtn.com, www.dtn.com. (c) 2017 DTN. All rights reserved.