Los Angeles Spot Gasoline Prices Fall with RBOB Futures
10/12 4:46 PM
Los Angeles Spot Gasoline Prices Fall with RBOB Futures OAKHURST, N.J. (DTN) --- Los Angeles spot gasoline prices fell Thursday with the downturn by New York Mercantile Exchange RBOB futures while cash basis in the region remained strong in thin market discussion. Oil futures came under profit taking pressure after the International Energy Agency in its latest monthly outlook forecast global oil supplies to build by roughly 800,000 bpd in the first quarter while for 2017 the agency shows a draw of 300,000 bpd. Meantime, weekly data on domestic supplies was mixed. The Energy Information Administration reported a larger-than-estimated 2.7 million bbl drop in crude inventories during the week-ended Oct. 6 while the American Petroleum Institute said crude supplies increased 3.1 million bbl. EIA detailed a smaller-than-expected 1.5 million bbl distillate stock draw versus API's reported 2.03 million bbl build. API's reported 1.58 million bbl gasoline supply draw was in line with estimates while EIA surprised participants with a gasoline supply build of 2.5 million bbl. NYMEX November RBOB futures dropped 2.6cts to settle at $1.5832 bbl while the November ULSD contract settled 2.06cts lower at $1.7655 gallon. NYMEX November West Texas Intermediate crude settled down 70cts at $50.60 bbl and the December Intercontinental Exchange Brent contract fell 69cts to settle at $56.25 bbl. October CARBOB in the basin was talked at a 14.0cts futures premium after deals early at a 15.0cts premium. Spot price fell 1.6cts to $1.7232 gallon. San Francisco Bay prompt CARBOB was indexed at a nickel discount to the basin, down 1.6cts at $1.6732 gallon. California Energy Commission data detailed a near 4% build in CARBOB supplies last week as production of the fuel held higher. CARBOB stocks increased 257,000 bbl while output rose 290,000 bbl week-over-week. EIA data shows PADD V gasoline supplies rose 648,000 bbl to 29.305 million bbl during the week-ended Oct. 6. Pacific Northwest prompt suboctane was talked at a 7.5cts futures premium, down 2.6cts at $1.6582 gallon. Dawn Gallagher, 1.732.531.4451, dawn.gallagher@dtn.com, www.dtn.com. (c) 2017 DTN. All rights reserved.