Grades were steady on Friday even as U.S. energy firms this week cut oil rigs by the most in a week since June 2023.
WTI Midland was unchanged, while Mars edged 10 cents higher.
Baker Hughes said oil rigs fell by nine to 480 this week. Oil producers were starting to think about cutting output and jobs due to a double whammy of higher crude output from OPEC and on-again, off-again tariffs that have dented demand, sources and industry executives said.
Meanwhile, China announced on Friday it will impose a 125% tariff on U.S. goods starting on Saturday, up from the previously announced 84%, after Trump raised tariffs against China to effectively 145% on Thursday.
At least two vessels carrying Venezuelan crude chartered by Chevron
CVX
are now stalled in Venezuelan waters due to state oil company PDVSA canceling their export authorizations after the U.S. imposed secondary tariffs on the OPEC member’s buyers, three sources with knowledge of the matter said on Friday.
Light Louisiana Sweet (WTC-LLS) for May delivery eased 10 cents to a midpoint of a $2.20 premium and was seen bid and offered between a $2.00 and $2.40 a barrel premium to U.S. crude futures
Mars Sour (WTC-MRS) strengthened 10 cents to a midpoint of a $1.1 premium and was seen bid and offered between a 90-cent and $1.3 a barrel premium to U.S. crude futures
WTI Midland (WTC-WTM) was unchanged at a midpoint of a 90-cent premium and was seen bid and offered between a 70-cent and $1.10 a barrel premium to U.S. crude futures
West Texas Sour (WTC-WTS) strengthened 15 cents to a midpoint of a 30-cent premium and was seen bid and offered between a 15-cent and 45-cent a barrel premium to U.S. crude futures
WTI at East Houston (WTC-MEH), also known as MEH, traded between a $1.00 and $1.50 a barrel premium to U.S. crude futures
ICE Brent June futures rose $1.43 to settle at $64.76 a barrel on Friday.
WTI May crude futures rose $1.43 to settle at $61.5 a barrel on Friday.
The Brent/WTI spread (WTCLc1-LCOc1) widened 10 cents to last trade at minus $3.80, after hitting a high of minus $3.72 and a low of minus $3.88.
Source: Reuters