Economics
U.S. Oil Is Too Good, Too Pricey and Too Far for Asia Buyers
- Exports seen offering diversity of supply, not discounts
- U.S. supplies more likely to head to Latin American buyers
Oil Slides on Inventory Data
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In the world’s biggest oil market, buyers have better options than U.S. crude.
As the country inches toward ending the last restrictions on exports, Asian buyers will probably have a limited appetite for the quality of crude on offer. Many of the region’s refiners are geared to process heavier, cheaper oil with higher sulfur content. The lighter and cleaner shale oil from the U.S. has also got about a third farther to come than alternative supplies from the Middle East and that represents an additional cost.