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  • WTI crude settled well above $101/bbl, cutting the premium of North Sea Brent to barely $3 and continuing to hit U.S. inland refiners that had thrived on ~$20 premiums for much of 2012. "Stay away from these stocks until we know in the next 3-4 weeks whether this trend is temporary," Oppenheimer's Fadel Gheit advises. Since May 1: HFC -16%, WNR -13%, CVI -8%, MPC -6%[View news story]
    I feel fortunate to post on a Fadel Gheit commentary. The US is mainly producing light sweet crude oil, some of the sweetest in the world. Compared to the imported crude, much less processing. I'd have expected Gheit to have researched all these company's locked in contract prices before he even commented. He's stating it's only for the next few weeks to month to determine a clearer trend. Whenever he shows up on CNBC, I always listen. The US is cranking so much sweet crude, it likely will be selling soon on a separate index. Brent is for the worldwide, supertanker transportation costs included contract. The future for US crude and oversupply of NG is pretty exciting. We need a serious energy policy from DC. Currently, that might be asking too much, it seems.
    Jul 4, 2013. 05:17 AM | 2 Likes Like |Link to Comment
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