Weaker Basis Pressures Spot Jet Fuel Prices at Most US Hub
12/14 5:16 PM
Weaker Basis Pressures Spot Jet Fuel Prices at Most US Hubs OAKHURST, N.J. (DTN) --- Most spot jet fuel prices in east of the Rockies and West Coast trade markets declined Thursday in limited trade while benchmark New York Mercantile Exchange ULSD future edged higher. Cash basis values declined in all markets except Chicago, where basis held steady. In futures trade, the NYMEX oil complex settled higher across the board on short-covering and spread buying while benchmark RBOB futures was the strongest of the complex on a reported reformer unit fire at CITGO's 157,500 bpd Corpus Christi, Texas. January ULSD futures settled 0.55cts higher at $1.9099 gallon while the spot month West Texas Intermediate crude contract settled 44cts higher at $57.04 bbl. January ULSD futures jumped 2.40cts on the session. New York Harbor jet fuel traded at a 0.75cts futures discount for Buckeye Pipeline transport, 0.7cts lower at $1.9024 gallon. Gulf Coast 54-grade for 71st cycle Colonial Pipeline shipment traded 13.65cts below the MERC, down 0.60cts at $1.7734 gallon. Group 3 Q-grade was rated at a 5.0cts futures discount for prompt Magellan Pipeline delivery, a loss of 1.45cts $1.8599 gallon. Chicago 51-grade remained at a 7.0cts futures discount for third cycle December delivery into East Chicago, 0.55cts higher at $1.8399 gallon. Los Angeles December LAX pipeline jet fuel was talked 12.0cts below the print, down 1.2cts at $1.7899 gallon. San Francisco spot jet fuel was talked at a 12.0cts futures discount while the Pacific Northwest was indexed 11.0cts below the MERC. In other news, AAA today said an estimated 107.3 million Americans will travel during the year-end holiday period, from Dec. 23 through Jan. 1, 2018. This would mark highest volume on record and a 3.1% increase in travel volume compared with last year. 2017 marks the ninth consecutive year of rising year-end holiday travel. Since 2005, total year-end holiday travel volume has grown by 21.6 million, an increase of more than 25%. AAA said an estimated 6.4 million people will travel by air, a 4.1% increase and the fourth consecutive year of increased air travel volumes. Dawn Gallagher, 1.732.531.4451, dawn.gallagher@dtn.com, www.dtn.com, (c) 2017 DTN. All rights reserved.