Midwest Spot Oil Products Producing Mixed Results Midday
9/21 12:31 PM
Midwest Spot Oil Products Producing Mixed Results Midday BURLINGTON, Vt. (DTN) -- Tracking volatile price swings in New York Mercantile Exchange RBOB and ULSD October oil futures, spot market prices are mostly lower at midday in limited pre-weekend cash trading in Oklahoma Group 3 and Chicago. A meeting on Sunday in Algiers between the Organization of the Petroleum Exporting Countries and several non-OPEC crude oil producers to discuss how and to whom an increase in quotas might be parceled out in response to the impact U.S. sanctions have on sales of Iranian crude oil during the fourth quarter has pushed prices higher. Oil futures have traveled a rocky road with November WTI futures rallying to a $71.80 intraday high, then tumbling to a $69.98 session low before rallying $0.50 to $70.82 bbl at press time. October RBOB futures pivoted off a $2.0524 session high, and were up 0.66cts trading $2.0212 gallon at midday. October ULSD futures were off a fractional 0.23cts at $2.2257 gallon at last check, and well below an earlier $2.2625 session high. V-grade Group 3 suboctane 10.0-lb. regular was reported sold 15.75cts over the October RBOB futures contract for prompt Magellan Pipeline delivery that bumped spot price 0.66cts above its Thursday DTN closing market assessment to $2.1787 gallon. Chicago 11.5-lb. CBOB has eased 0.34cts to a notional $2.1512 gallon, rated at a 13.0cts MERC premium for prompt generic pipeline delivered supply. Group 3 X-grade ultra-low sulfur diesel has backpedaled 0.48cts to an implied $2.2557 gallon versus a 3.0cts MERC premium for prompt cycle Magellan Pipeline delivery. Chicago diesel fuel has eased 50pts in basis and 0.73cts in implied flat price to $2.2307 gallon, rated at a 0.5cts futures premium for prompt generic pipeline offtake. G.Bud deGorgue, 1.802.524.1784, www.dtn.com. (c) 2018 DTN. All rights reserved.