Los Angeles Spot Gasoline Gain in Dull Trade with Futures
OAKHURST, N.J. (DTN) --- Spot gasoline prices in Los Angeles ticked higher
Friday afternoon in muted trade action as a dip in basis was negated by
continued gain by New York Mercantile Exchange March RBOB futures.
Benchmark oil futures rose for a third session, supported by stronger
equities, expectations for increased demand and federal data released midweek
showing oil supplies at the NYMEX delivery point in Cushing dropped for an
eight week. The better than 3.6 million bbl drop in Cushing crude stockpiles
surpassed an expected 2.0 million bbl draw.
NYMEX March RBOB futures settled 1.51cts higher at $1.7509 gallon and the
March ULSD contract rose 1.88cts to $1.9104 gallon settlement.
NYMEX spot month West Texas Intermediate crude futures rose 34cts to settle
at $61.68 bbl while the Intercontinental Exchange April Brent contract settled
51cts higher at $64.84 bbl.
February CARBOB in the basin was indexed 10.0cts by 15.0cts over the print
in dull buying interest ahead pipeline scheduling for the fourth cycle late
next week. Yesterday, the fuel was talked at a 13.0cts premium. With the gain
on the print, spot price rose just over a penny to $1.8759 gallon.
L.A. March CARBOB was bid 3.0cts below April RBOB futures with offers pegged
at futures parity.
On the diesel side of the market, sources pegged March CARB ULSD in the
basin at a 2.0cts by 3.5cts futures premium with the fuel reportedly trading
earlier at a 3.0cts premium. Assessed last at $1.9359 gallon, spot price added
almost 1.5cts from the February value a day ago.
In the San Francisco Bay, February CARB ULSD was indexed flat by a 1.0cts
futures premium, rising 2.38cts to $1.9154 gallon.
In the Pacific Northwest, February ULSD held at a 6.0cts futures premium,
tracking the print nearly 2.0cts higher to $1.9704 gallon.
Trade sources pegged prompt suboctane in the region at a 10.0cts premium to
March RBOB futures versus 11.0cts a day ago. Spot price added 0.51cts to
Dawn Gallagher, 1.732.531.4451, email@example.com, www.dtn.com. (c)
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