N.Y.H.,Gulf Spot Products Ease in Light Pre-weekend Trade
BURLINGTON, Vt. (DTN) -- Spot market oil product prices in New York Harbor
and at the Texas Gulf Coast are mostly lower Friday morning, fueled by an
extended downturn in oil product futures traded on the New York Mercantile
Exchange.
Cash market trading has been flat in the Harbor and at the Gulf ahead of the
weekend respite.
NYMEX crude oil and product futures are moving lower late morning, tracking
a moderate advance in the dollar and downside trek in stock market indices.
December heating oil futures were trading down 2.48cts at $1.9716 gal at
press time, with the December RBOB futures contract down a fraction at $1.9692
gal and January RBOB 0.63cts lower trading $1.9910 gal. December crude oil
futures were $0.88 in the loss column, trading $76.59 bbl in front of contract
expiration at the market close this afternoon.
Valero Energy Corp. announced today it intends to permanently shutdown its
210,000 bpd refinery in Delaware City, Delaware. The company cites "financial
losses caused by very poor economic conditions, significant capital spending
requirements and high operating costs." The mothballing of the facility will
reportedly start immediately.
No.2 heating oil in the Harbor has plunged 2.23cts to a notional $1.9391
gal, assessed at a 3.25cts futures discount for prompt barge/Buckeye Pipeline
transport. Ultra-low sulfur diesel fuel has moved lower in tandem to an implied
$1.9516 gal, talked for prompt trade at a 2.0cts futures discount.
Ultra-low sulfur diesel fuel at the Gulf Coast has moved 1.98cts below its
Thursday closing range to a notional $1.9341 gal, indicated on the rollover to
Colonial Pipeline's 66th cycle at a 3.75cts futures discount.
Conventional M4 regular no lead at the Gulf Coast has eased 1.35cts to
$1.9160 gal, trading for 67th cycle Colonial Pipeline transport at a 7.5cts
discount versus January NYMEX RBOB futures this morning.
Conventional M5 regular no lead in the Harbor is assessed for prompt Buckeye
Pipeline injection at a 1.25cts futures premium that leaves implied flat price
virtually unchanged from its Thursday closing market assessment at $1.9817 gal.
F5 RBOB has edged up 0.12cts to a notional $1.9557 gal, priced for prompt trade
at a 1.35cts futures discount.
Bud deGorgue, 1.802.524.1784, bud.degorgue@dtn.com, www.telventdtn.com.
(c) 2009 Telvent DTN. All rights reserved.
