Heavy Louisiana Sweet, a medium-gravity crude produced in the Gulf of Mexico, advanced against the U.S. benchmark grade for the first time in a week.
Other Gulf Coast crudes also gained on the spot market even as WTI strengthened against Brent crude. Domestic grades competing with imports for space in Gulf Coast refineries can weaken when WTI outperforms the European benchmark.
Heavy Louisiana Sweet’s differential widened by 60 cents to a $5.35 premium as of 3:37 p.m. New York time, according to data compiled by Bloomberg. It was the first gain for the grade since Dec. 20, when its premium reached a seven-month high of $11 a barrel after Gulf stockpiles dropped.
WTI’s discount to Brent shrank for a third day to $11.86.
Thunder Horse, another medium-gravity Gulf oil, strengthened by 50 cents to a 25-cent premium to WTI. Southern Green gained 50 cents against WTI to a 50-cent discount.
Mars Blend sour crude rose 20 cents to a 45-cent premium to WTI, while Light Louisiana Sweet crude was unchanged at a $4.50 premium.
Western Canadian Select heavy crude weakened by 25 cents to a $23.50 discount.
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