May 16 (Bloomberg) -- Gasoline in Los Angeles on the spot market weakened for a seventh day while jet fuel in the city strengthened as the main producer shut a crude unit yesterday.
California-blend gasoline in Los Angeles weakened by 11 cents to 6 cents a gallon above futures traded on the New York Mercantile Exchange at 4:07 p.m., according to data compiled by Bloomberg. It’s the lowest the premium has been since April 29, before a series of refinery outages on the West Coast pushed the premium to a year-to-date high of 44.5 cents on May 7.
“It got high, it’s been drifting down, and then all of a sudden today it fell off the table,” said Dave Hackett, the president of Stillwater Associates, an Irvine, California-based oil consultant. “The market knows something large is about to happen, and guys are getting out.”
Jet fuel in Los Angeles strengthened by 2.25 cents to 13 cents a gallon below ultra-low-sulfur diesel futures on the Nymex.
BP Plc’s Carson refinery in Southern California, which produces 50 percent of the jet fuel for Los Angeles International Airport, took the No. 4 crude unit out of service to fix a valve leak, a person with knowledge of operations said. It is running two other crude units at reduced rates, said the person, who asked not to be identified because the information isn’t public.
California-blend diesel in Los Angeles strengthened by 0.25 cent to 4.5 cents a gallon below Nymex futures.
California-blend gasoline in San Francisco weakened by 12 cents to 9 cents a gallon above futures. State-blend diesel in the city weakened by 1 cent to 6 cents a gallon above futures.
In Portland, Oregon, conventional, 84-octane gasoline weakened 4 cents to 43 cents a gallon above Nymex futures. Low-sulfur diesel remained unchanged at 14.5 cents a gallon above futures.
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