Oil Spreads Rocket as Traders Scour for US Crude Supplies
- WTI prompt spread strongest in four months as Cushing drains
- Midland, Texas, stocks are 600,000 barrels below 2021 levels
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The heart of the US physical oil markets is screaming for supplies even as headline prices swing due to worries about a global recession.
The US crude prompt timespread, which closely reflects the supply and demand balances at the country’s biggest storage hub in Cushing, Oklahoma, has surged to the highest level since March at nearly $4 a barrel. Stockpiles at the delivery point for benchmark US crude futures are hovering at levels that are considered a minimum requirement to maintain operations.