Midwest Spot Oil Product Prices Soar on Basis Spikes
BURLINGTON, Vt. (DTN) -- Spot market gasoline and diesel fuel prices in
Oklahoma Group 3 and Chicago raced higher Monday propelled by a moderate
advance in benchmark RBOB and ULSD oil futures on the New York Mercantile
Exchange and a surge in prompt cash differentials.
Trading was active throughout the day in both heartland open market regions.
In futures, the December WTI contract expired at today's formal session
close finishing $0.30 higher at $56.76 bbl and January futures climbed $0.52 to
$57.20 bbl. December ULSD futures rallied 1.27cts to $2.0864 gallon at
settlement, and the spot month RBOB contract posted a 0.59cts advance at
Chicago 15.0-lb. CBOB soared 700pts in cash differential, trading for
delivery into the Buckeye Complex a penny over the December RBOB futures print
that powered spot price 7.59cts above its DTN Friday closing market assessment
to $1.5929 gallon. RBOB improved 100pts to a 4.0cts CBOB premium that boosted
flat price by 8.59cts, and PBOB maintained a 30.0cts premium over CBOB.
Chicago ultra-low sulfur diesel fuel rambled 5.27cts higher to $2.1364
gallon, trading late day 5.0cts over the MERC for offline delivery into BCX
storage. Suboctane 13.5-lb. regular V-grade in Group 3 rode a 350pts basis
improvement 4.09cts higher to $1.5879 gallon, changing hands refiner-to-trading
company 0.5cts over the MERC. A-grade unleaded premium was priced at a 20.0cts
regrade at $1.7879 gallon.
Group 3 X-grade ULSD sold for prompt cycle Magellan Pipeline delivery at
MERC level that gave spot price a 2.02cts lift to $2.0864 gallon.
G.Bud deGorgue, 1.802.524.1784, www.dtn.com. (c) 2018 DTN. All rights