LA, SF CARBOB Basis Rise on Tight Supply


   
Kristina Davis
DTN Refined Fuels Market Reporter

   MIAMI, FL (DTN) -- Los Angeles and San Francisco CARBOB regular basis 
strengthened Tuesday (5/26), with spot market trades moving higher as West 
Coast gasoline supply concerns continued ahead of the summer driving season.

Los Angeles CARBOB regular basis traded at a 48cts premium to June NYMEX RBOB 
futures, up 5cts from the prior confirmed level. Los Angeles CARBOB premium 
followed in tandem, climbing by 5cts to a 58cts premium, maintaining the 10cts 
spread between regular and premium grades.

San Francisco CARBOB regular basis also strengthened, trading at a 75cts 
premium to June RBOB futures, up 9cts from its previous pegged level of 66cts.

The stronger basis values came as the U.S. Energy Information Administration 
reported another draw in West Coast gasoline inventories during the week ended 
May 15. Motor gasoline inventories in the PADD 5 region declined by 400,000 bbl 
to 27.9 million bbl after posting an increase the previous week.

Although gasoline inventories were still 800,000 bbl above the same period last 
year, the latest weekly decline added to concerns surrounding tightening West 
Coast supply fundamentals. Reduced California refining capacity, including 
refinery shutdowns and lower import flows into the region, have continued to 
keep the market structurally tight heading into peak summer gasoline demand.




(c) Copyright 2026 DTN, LLC. All rights reserved.