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US Cash Crude-Crude grades mixed as market assesses supply

Monday, 11 September 2023 | 00:00

U.S. cash crude grades were mixed on Friday, dealers said, as the market weighed a higher U.S. rig count with news this week that Saudi Arabia and Russia would extend voluntary output cuts.

U.S. energy firms this week increased the number of oil rigs operating for the first time since June, energy services firm Baker Hughes said on Friday.

West Texas Sour fell 65 cents at a midpoint of a 20-cent discount to U.S. crude futures.

Mars Sour gained 20 cents at a midpoint of a 10-cent discount.

U.S. crude’s discount to Brent widened last to minus $3.87 a barrel. A wider discount encourages foreign buying of U.S.-linked grades.

This week, OPEC member Saudi Arabia and Russia extended their voluntary supply cuts of a combined 1.3 million barrels per day to the end of the year.

Light Louisiana Sweet for October delivery was unchanged at a midpoint of a $2.15 premium and was seen bid and offered between a $2.05 and $2.25 a barrel premium to U.S. crude futures.

Mars Sour gained 20 cents at a midpoint of a 10-cent discount and was seen bid and offered between a discount of 20 cents and parity to U.S. crude futures,

WTI Midland was unchanged at a midpoint of a $1.25 premium and was seen bid and offered between a $1.15 and $1.35 a barrel premium to U.S. crude futures

West Texas Sour fell 65 cents at a midpoint of a 20-cent discount and was seen bid and offered between a discount of 75 cents and 35-cent a barrel premium to U.S. crude futures.

WTI at East Houston, also known as MEH, traded between a $1.35 and $1.55 a barrel premium to U.S. crude futures.

ICE Brent November futures rose 73 cents to settle at $90.65 a barrel on Friday.

WTI October crude futures rose 64 cents to settle at $87.51 a barrel on Friday.

The Brent/WTI spread widened last to minus $3.87, after hitting a high of minus $3.76 and a low of minus $3.93.
Source: Reuters (Reporting by Stephanie Kelly in New York; editing by Diane Craft)

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