Fiji Time: 11:52 AM on Friday 19 January

Fiji Times Logo

/ Front page / Archives » Article Index

United States crude tops two-year high

Reuters
Tuesday, November 28, 2017

NEW YORK - US oil prices hit their highest levels in more than two years on Friday after the continued shutdown of a pipeline running from Canada to the United States was expected to reduce supply into a major storage facility.

US West Texas Intermediate crude futures (WTI) CLc1 settled up 93 cents, or 1.6 per cent, at $US58.95 ($F123) a barrel.

Trading volumes were thin on Friday due to the US Thanksgiving holiday.

Benchmark Brent crude LCOc1 rose 31 cents, or 0.49 per cent, to settle at $63.86 a barrel.

TransCanada Corp (TRP.TO)'s 590,000 barrel-per-day Keystone pipeline, linking Alberta's oil sands to US refineries, shut on November 16 after a spill was found in South Dakota.

It is not clear when the pipeline would return to operation, but it carries a large portion of crude into Cushing, Oklahoma, the delivery point for WTI futures, so its shutdown means fewer barrels going into storage.

The spread between the prompt and second month WTI futures CLc1-CLc2, an indicator of supply-demand balances at Cushing, also traded up to 10 cents in backwardation where prompt barrels are more expensive.

"We're expecting to continue seeing draws out of Cushing, which turned the WTI market into backwardation," said Tariq Zahir at Tyche Capital Advisors, referring to a market structure where prompt prices are higher than those in the future.








Fiji Times Front Page Thumbnail

Kaila Front Page ThumbnailFiji Times & Kaila Frontpage PDF Downloads

Use the free Acrobat Reader to view.

Westpac
Code Inward TTs Outward TTs
CAD 0.62390.6049
JPY 56.369653.3696
GBP 0.36040.3524
EUR 0.41060.3986
NZD 0.69380.6608
AUD 0.63130.6063
USD 0.50390.4869

from

$0.00

Exchange Rate updated on 19th, January, 2018

Today's Most Read Stories

  1. Patient info leaked
  2. Four miss out
  3. Men appear in court for separate cases
  4. Ministry looks into Kanailagi case
  5. Stench concern
  6. 624,404 voters
  7. A simple turn of the tap
  8. 4-day water cut for West
  9. Blocked drain an eyesore, health issue
  10. No outbreak, says Akbar

Top Stories this Week

  1. Trip turns tragic Thursday (18 Jan)
  2. Love will keep us together Sunday (14 Jan)
  3. $100 a day Sunday (14 Jan)
  4. Mela beats the odds Thursday (18 Jan)
  5. Capt William calls it a day after 45 years Sunday (14 Jan)
  6. Nadi man dies in crash Wednesday (17 Jan)
  7. National strike if no resolution, says FTUC Sunday (14 Jan)
  8. Teachers transfer policy Monday (15 Jan)
  9. Tube ride to school Thursday (18 Jan)
  10. Man attacks partner Monday (15 Jan)