The U.S. government is releasing half-a-million barrels of crude oil from the Strategic Petroleum Reserve to a Gulf Coast refinery as the region's refining industry works to recover from the devastation of Harvey. "Three to four weeks if there has been substantial damage". They had climbed 10 cents to $1.88 a gallon Wednesday.
Backwardation, when the front-month contract is more expensive than subsequent months, makes it uneconomical to store crude, resulting in the drawdown of inventories. The closure of so many US refineries has resulted in a slump in demand for the most important feedstock for the petroleum industry.
The move to a backwardated curve in mid-August was generally viewed by market participants as proof that crude oil was re-balancing, and that the efforts of the Organization of the Petroleum Exporting Countries (OPEC) and its allies to restrict their output were finally paying off.
Hurricane Harvey made landfall in Texas on the evening of August 25.
Brent crude futures LCOc1 were down 7 cents at US$51.93 a barrel. Jefferies bank said it was lowering its fourth-quarter Brent oil price estimates to $55 a barrel from $60 and its 2018 forecast to $57 from $64.
Prices also rallied in the oil products markets, with US gasoline futures hitting a two-year high above $2 a gallon, buoyed by fears of a fuel shortage just days ahead of the Labor Day weekend that typically brings a surge in driving.
The U.S. Department of the Interior's Bureau of Safety and Environmental Enforcement said that about 13.5 percent of oil production in the Gulf of Mexico was shut in on Thursday due to the storm. USA gasoline futures RBc1 surged 4 percent to settle at their highest in more than two years. However, the assessment does not include the impact of storm Harvey.
However, the data was collected before Hurricane Harvey hit the Gulf Coast.
U.S. West Texas Intermediate (WTI) crude futures CLc1 were trading at $45.84 per barrel at 0024 GMT, down 12 cents, or 0.3 percent, from their last close. The discount for U.S. WTI versus Brent reached $5.92 a barrel on Tuesday, its widest in more than two years. Refinery shutdowns and fuel shortage worries have also boosted retail fuel prices, particularly in the USA and Southwest. "It has to come from Asia even".
That includes the biggest USA refinery, Motiva's Port Arthur facility, which can handle more than 600,000 barrels a day.
This crude will now either have to be put in storage, or find other buyers.
Historic flooding caused by Harvey knocked one-fifth of the nation's refining capacity offline, according to S&P Global Platts.
There is little doubt that Harvey has complicated the efforts by OPEC and its allies to force global inventories lower, but if they respond by tactically allocating different grades of crude among customers, it could still work to their benefit.
Francisco Blanch and his team note that WTI timespreads have "returned to a steep contango" due to the refinery shutdowns caused by the storm.
But what will worry some Arsenal fans is whether this approach for Lemar signals the end of Alexis Sanchez's time at the club. Lemar proved the Premier League clubs should have gone all out to sign him as he scored another goal late on.
That includes support for Amazon's Alexa and Google's Assistant , though users of Apple's HomeKit platform are still out of luck. On Thursday, Nest released a lower-priced version of its learning thermostat called the Thermostat E at a retail price of $169.
Long, the Halos #6 prospect, has put together a solid season across AA and A+ this season, owning an 8-8 record and a 2.69 ERA. While he is prone to striking out, it pairs an impact power bat alongside Mike Trout in Los Angeles' lineup.
The game itself was hardly eventful and was heading towards a draw with Middlesex stretching their second-innings lead past 180. The Oval cricket ground has been evacuated this afternoon after reports that a crossbow bolt had landed in the ground.
The CEO of the Louisiana SPCA, Ana Zorrilla, said there has been "huge progress" for animals since Katrina ravaged New Orleans. Pilots with Sierra West Airlines said the dogs had been loaded onto their Metroliner at about 8 a.m. on Wednesday.
They also both offer 2700mAh battery capacities, charged via USB Type-C and they are both IP65/68 water and dust resistant. The XZ1 will be available in Black, Warm Silver, Venus Pink and Moonlit Blue colour options when it becomes available.
Princes William and Harry have viewed tributes left at Kensington Palace's gates on the 20th anniversary of their mother's death. Across Britain, people are marking the 20th anniversary of the Paris vehicle crash which claimed the life of Princess Diana .
France's President Emmanuel Macron said Tuesday he will visit Israel next year amid a new French peace push in the Middle East. Mr Macron argues the measures are needed to introduce greater flexibility in France's rigid labour law to encourage hiring.
Both Bezos and Nadella suggested to the Times they would be open to a similar collaboration with Apple's Siri or Google Assistant. More interestingly, further updates to Windows 10 will also allow users to access Alexa from their Cortana-based Windows 10 PCs .
Sandra Bullock is the latest celebrity to help in the Hurricane Harvey relief effort with a gift of $1 million to the Red Cross . United Way Worldwide said it was "incredibly grateful" for the generosity of DiCaprio and his foundation.
Apple is reportedly joining a bidding group that's led by Bain Capital and includes SK Hynix and a collection of Japanese banks. Reports said iPhone maker Apple too has jumped into the race with a consortium offering to pay about $20 billion for the unit.