WTI Oil Trades Near 4-Month High on Pipeline Expansion
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Oil traded near a four-month high in New York, narrowing its discount to Brent crude to the least since September, after the expansion of a pipeline that may reduce a glut in the U.S. Midwest.
West Texas Intermediate climbed as much as 0.8 percent after a fifth weekly gain, the longest run of advances since August. The 500 mile (805 kilometer) Seaway line running from Cushing, Oklahoma, to Freeport, Texas, resumed service after shutting Jan. 2 to boost capacity to 400,000 barrels a day from 150,000 barrels, Enterprise Products Partners LP and Enbridge Inc. said Jan. 11. Goldman Sachs Group Inc. said WTI’s discount to Brent will shrink to $6 a barrel in the second quarter, from $17 today.