With Brent Below $30, US Oil Priced to Store

摘要

Oil’s plunge has roiled North American crude differentials, with spot market and time spreads telling the market to store barrels rather than trying to export them. Traders said Saudi Arabia’s recent slashing of sales prices into the US has prompted refiners to turn away from buying domestic light, sweet crude in favor of heavier, sourer grades such as Arab Light that perform better in domestic downstream facilities (IOD Mar.13’20).