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Share Price: 466.85
Bid: 456.00
Ask: 476.00
Change: 0.00 (0.00%)
Spread: 20.00 (4.386%)
Open: 0.00
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Prev. Close: 466.85
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U.S. Cash Products-Gulf gasoline rises on stronger demand

Wed, 05th Aug 2015 19:05

* Midwest gasoline rises on refinery upsets * Harbor jet fuel up on scarce selling HOUSTON, Aug 5 (Reuters) - U.S. Gulf Coast cash gasoline differentials roseon Wednesday as buying increased despite a large build in regional stocks lastweek, traders said. A2 CBOB, or conventional regular gasoline blendstock formulated for blendingwith 10 percent ethanol, traded at 13.25-cent and 12.25-cent discounts toSeptember RBOB futures, up a penny per gallon, while conventional M2gasoline climbed a quarter cent per gallon to a 2.75-cent discount to futures,traders said. The U.S. Energy Information Administration on Wednesday said Gulf Coastgasoline stocks gained 1.6 million barrels last week while running at 96.1percent. But traders said Midwest demand for Gulf Coast barrels increased this weekwhen Marathon Petroleum Corp's 240,000 barrels per day (bpd) refinery inCatlettsburg, Kentucky, shut on Sunday because of a power outage. Marathon hopesto begin restarting units by Friday. A brief shutdown on Tuesday of an alkylation unit at BP Plc's 413,500 bpdrefinery in Whiting, Indiana, also boosted demand for spot Gulf barrels, traderssaid. Midwest gasoline strengthened again on concerns about this week's refineryissues in the region, brokers said. The shift to trading for cycle-2 August barrels in Chicago also wassupportive, sources said. Chicago CBOB gasoline had sellers asking 3.00 cents below September RBOB,with buyers bidding 4.50 cents under. Cycle-1 barrels were valued at 6.25 centsbelow late on Tuesday. Group Three gasoline gained 2.25 cents to 5.75 cents below September RBOB. "People seem to have Marathon and BP on their minds in Chicago and BP andHollyFrontier in the Group," commented one Midwest broker. HollyFrontier Corp's 138,000-bpd El Dorado, Kansas, refinery hadelevated flaring on Monday, according to industry intelligence company Genscape,and the company reported a release of benzene on Tuesday. Midwest diesel was little changed. New York Harbor jet fuel strengthened 2.50 cents to 5.50 cents belowSeptember ultra-low sulfur diesel (ULSD) futures as sellers were not inthe market with offers, brokers said. ULSD was about 0.75 cent stronger at 1.00 cent below futures. F2 RBOB was about 0.50 cent stronger, with offers for prompt supply at 6.00cents over September RBOB. Any-August supply traded at 2.00 cents over. M2 gasoline was 0.25 cent stronger at 0.25 cent above September RBOB. U.S. gasoline stocks rose 811,000 barrels last week to 216.73 million,driven by the large Gulf Coast build, the EIA said. Midwest stocks fell 360,000 barrels, and East Coast inventories declined159,000 barrels, the EIA said. U.S. distillate stocks rose 709,000 barrels to 144.8 million last week asdeclines in most U.S.-defined petroleum supply zones overrode a 598,000-barreldraw in East Coast stocks. Gulf Coast inventories climbed 501,000 barrels, andMidwest stocks gained 289,000 barrels, the EIA said. U.S. refinery utilization reached its highest rate since 2005 last week at96.1 percent of capacity, up 1 percentage point from the prior week, the EIAsaid. Midwest and East Coast rates hit 100.3 percent and 97.1 percent,respectively, their highest levels since the EIA started keeping track in 2010.Midwest utilization rose 1.6 percentage points, while East Coast rates gained2.5 percentage points. Gulf Coast rates climbed 1.4 percentage points to 96.1 percent, the EIAsaid. Ethanol Renewable Identification Number (RIN) credits for 2015 traded steadyat 41 cents each, within Tuesday's range of trades from 40 to 42 cents. Creditsfor 2014 had buyers bidding 42 cents, up after Tuesday's trades 41 cents. Biodiesel credits for 2015 had buyers' bids at 69 cents, steady to Tuesday'strades. Sellers were asking 71 cents. Credits for 2014 were not seen traded. They have recently been valued at apenny to two cents below 2015 credits. For more refinery news, please go to Latest day Timing NYMEX Bid Offer Change Contract U.S. GULF COAST <0#P-USG> * Scheduling A2 CBOB gasoline Cycle 45 RBOB -12.50 -12.00 1.00 M2 conventional gasoline Cycle 45 RBOB -3.00 -2.50 0.25 62-grade ULSD Cycle 44 HO -6.25 -5.75 0.00 54-grade jet fuel Cycle 44 HO -13.00 -12.00 0.00 Heating oil * Cycle 43 HO -20.00 -19.50 -0.75 NEW YORK HARBOR <0#P-NYH> M2 conventional gasoline Prompt RBOB 0.00 0.50 0.25 F2 RBOB Prompt RBOB 5.50 6.00 0.50 ULSD Prompt HO -1.25 -0.75 0.75 Heating oil Prompt HO -14.25 -13.75 0.00 Jet fuel Prompt HO -5.75 -5.25 2.50 MIDWEST <0#P-G3> <0#P-MC> Chicago CBOB gasoline Cycle 2 RBOB -4.50 -3.00 2.50 Chicago ULSD Cycle 2 HO -4.00 -2.00 0.50 Group Three gasoline RBOB -6.00 -5.50 2.25 Group Three ULSD HO -1.50 -1.00 0.25 (Reporting by Kristen Hays in Houston and Robert Gibbons in New York; Editingby Diane Craft)

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