Sour crude complex dips on renewed worries over supply surplus

S&P Global Platts | Apr 1, 2020 at 4:18 AM
  • Benchmark Dubai crude futures declined mid-morning Wednesday, the first trading day for the month of April when the OPEC’s production cut agreement ends, resulting in Saudi Arabia and other Middle East producers pumping at maximum capacity.
  • The April/May intermonth spread for Dubai futures was assessed at minus $3.18/b Tuesday.
  • The May Dubai cash futures spread — a proxy of spot market sentiment for Middle East sour crudes in Asia — averaged minus $3.11/b over March, falling $3.09/b from the minus $0.02/b averaged over February.