Wti brent oil spread

So far in 2016, the prompt ICE Brent/NYMEX WTI spread has averaged just over $1/b. The key factor to keeping WTI at a discount to Brent in the year ahead is US production, which has already risen in some shale areas, such as the Texas Permian basin, and this with prices hovering just around $50/b. Spread Betting the Brent - WTI Spread. There are several factors influencing oil prices and that may account differently for each type of oil and thus to change the Brent-WTI spread. The WTI-Brent spread continues to widen. This disconnect between these two oil price benchmarks means refineries are set to move higher.

Sources cited the further widening Brent-WTI spread, which rose above$9/b during the day, as the primary driver of the rally, giving the incentiveto ship Bakken barrels south to the US Gulf Coast. S&P Global Platts assessedthe July-delivered crude spread at $9.52/b -- the highest in more than threeyears. Historically, the price of WTI crude oil futures has long been higher than that of Brent by $2/barrel, but the spread between 2011 and 2015 was reversed and expanded to $24/barrel. There are two possible bets you can make on the spread between WTI and Brent. First is the directional (i.e. spread will widen or spread will narrow), and second is the volatility play (i.e. change in spread per unit time will increase or decrease The US Energy Information Administration attributes the price spread between WTI and Brent to an oversupply of crude oil in the interior of North America (WTI price is set at Cushing, Oklahoma) caused by rapidly increasing oil production from Canadian oil sands and tight oil formations such as the Bakken Formation, Niobrara Formation, and Eagle

West Texas Intermediate (WTI) and Brent Crude are primary benchmarks in oil pricing. Although produced in different locations, WTI and Brent are of similar 

Exhibit 1 shows the performance of the S&P GSCI Brent Crude Oil versus the S&P GSCI Crude Oil (the measure for WTI) over the past five years. Since the lows in early 2016, the S&P GSCI Brent Crude Oil overtook the S&P GSCI Crude Oil and the spread between the two total returns steadily moved higher. As the American shale revolution has taken To access the remainder of Rolling In The Spread? How The Brent/WTI Crude Futures Relationship Got Trickier you must be logged as a RBN Backstage Pass™ subscriber. Full access to the RBN Energy blog archive which includes any posting more than 5 days old is available only to RBN Backstage Pass™ subscribers. West Texas intermediate is used as a benchmark in oil pricing. Historically, it has traded closely to Brent and the OPEC basket, but currently it has been discounted against Brent crude oil. Historical price data for WTI can be found at a website by the Energy Information Administration of the Department of Energy. Here it is, the all time record spread between CME WTI front-month future crude and ICE Brent front-month future crude: According to our assessment that's a record on a like-for-like basis on

Here it is, the all time record spread between CME WTI front-month future crude and ICE Brent front-month future crude: According to our assessment that's a record on a like-for-like basis on

The spread between international oil benchmark Brent and its US counterpart West Texas Intermediate has grown to its widest level in two years, in a move some analysts have attributed to US The example of the Brent - WTI spread This plurality of quality implies a plurality of prices. As with all raw materials, oil meets the laws of supply and demand. 3 Stock Picks to Play the WTI-Brent Spread Investors don't have to be the Clampetts, the sitcom family whose patriarch struck oil by accident while hunting, to make money on black tea. From The spread's effect on oil companies. When WTI trades below Brent, this generally means companies with oil production concentrated in the United States will realize lower prices compared to their international counterparts, as WTI is the de facto U.S. benchmark and Brent is the international benchmark. WTI, Brent spread widens. Front-month oil prices fell in mid-February to the lowest closing since late December on NYMEX but at the same time increased on ICE futures in Europe, widening the

Watch the space as next oil move will see demand increase for brent and the spread widens taking oil into mid to high 70,s while we wait again for WTI to catch up. So increase in oil price is now

T he spread between West Texas Intermediate ( WTI) and Brent Crude oil has long been under the microscope for energy traders across the world.The past few years have seen this spread heavily favor The narrowing of the spread should "increase the prospect of WTI reaching $100 sooner, as Brent prices are already above $100 and WTI is actually a better quality oil," said Matthew Parry

10 Apr 2013 Brent and West Texas Intermediate (WTI) are the two most commonly cited crude oil benchmarks. Brent is the light, sweet crude found in the 

20 Mar 2016 In January 2016 the ICE futures Exchange changed the expiration calendar for its flagship Brent crude contract. 7 Oct 2013 Since the Fall of 2008, the benchmark West Texas Intermediate (WTI) crude oil has periodically traded at unheard-of discounts to the  7 Sep 2017 The spread between Brent and WTI, two leading crude oil benchmarks, has widened recently, a reflection of a sharp increase in U.S. shale  13 Nov 2017 “The WTI price spread with Brent reflects the transportation costs associated with bringing crude oil from Cushing to the U.S. Gulf Coast and  21 Jul 2013 Brent-WTI spread disappears– for now. On Friday the benchmark crude oil traded in the central United States (West Texas Intermediate) sold  Brent WPI Spread is the difference in Brent Crude OIl Spot Price and WTI Crude Oil Spot Price. Brent Oil comes from the North Sea and is the major pricing benchmark for Atlantic basin oil. WTI comes from Texas and is the major pricing benchmark for oil from the Americas. While Brent and WTI price generally track one another, divergences often Watch the space as next oil move will see demand increase for brent and the spread widens taking oil into mid to high 70,s while we wait again for WTI to catch up. So increase in oil price is now

US crude drops below $50 as virus spreads in Middle East and Europe Brent crude was down 55 cents, or 1%, to $54.40 a barrel by 1432 GMT, while U.S. West Texas Intermediate (WTI) crude was 24 cents, or 0.5%, lower at $49.66 a barrel. Although WTI is better than Brent in terms of quality as it is lighter and sweeter than Brent Crude. Brent is seen as the major oil benchmark price globally, WTI being the second major oil benchmark price. The above differences all contribute to the spread between WTI & Brent Crude. Very Useful Summary (Taken from oilindustryinsight.com)