Los Angeles Gasoline Sinks to Two-Month Low as Supply Increases
Spot gasoline in Los Angeles dropped to the lowest in more than two months after the Energy Department said supplies of the fuel on the West Coast jumped last week to a seven-month high.
Gasoline inventories in the Padd 5 region increased 4.2 percent to 29.9 million barrels in the week ended Nov. 9, the highest since April 6, the Energy Department said.
California-grade gasoline, or Carbob, in Los Angeles dropped for the seventh straight day, declining 3 cents to 6.5 cents a gallon over gasoline futures traded on the New York Mercantile Exchange at 4:04 p.m. East Coast time, according to data compiled by Bloomberg. That’s the fuel’s lowest premium since Sept. 11.
San Francisco Carbob slid for the fourth day, losing 2 cents to a discount of 4.5 cents against futures, its lowest level since July 20.
California-grade, or CARB, diesel in San Francisco was unchanged for a second day at 2.5 cents a gallon over Nymex heating oil futures. CARB diesel in Los Angeles fell 1.75 cents to a premium of 4.25 cents a gallon.
Distillate fuel oil supplies in the region climbed 2.1 percent to 12.9 million barrels last week, a four-week high, Energy Department data show.
Conventional 84 sub-octane gasoline to be blended with ethanol in Portland, Oregon, fell for the fourth day, dropping 1.25 cents to 14.25 cents a gallon under gasoline futures. Low- sulfur diesel in Portland tumbled 5 cents to 12 cents a gallon over heating oil futures.
BP Plc (BP/) restarted the 315,000-barrel-a-day Olympic refined products pipeline in the U.S. Pacific Northwest after five days of planned work, a person with knowledge of the situation said yesterday. The line was shut Nov. 7.
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