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US Cash Crude-Crude grades broadly remain in holding pattern amid tariff uncertainty

ReutersMar 11, 2025 8:52 PM

- U.S. cash crude grades broadly firmed on Tuesday but remained in a holding pattern as whiplash around tariffs between the U.S. and Canada kept investors across asset classes on edge.

President Donald Trump on Tuesday ramped up a burgeoning trade war with Canada, vowing to double tariffs set to take effect within hours on all imported steel and aluminum products from America's northern neighbor to 50%, although he later said he would likely lower them after Canadian officials agreed to talks.

Mars Sour WTC-MRS firmed 25 cents at a midpoint of a $1.6 premium to U.S. crude futures CLc1, after easing the previous session.

Inland grades also firmed, with WTI Midland WTC-WTM and West Texas Sour WTC-WTS strengthening marginally. WTI Midland firmed to a $1.25 premium, the strongest in two weeks.

Light Louisiana Sweet WTC-LLS eased to a $3.75 premium.

On Tuesday the U.S. Energy Information Administration (EIA) said it expects crude oil production to average 13.61 million barrels per day (bpd) in 2025 and 13.76 million bpd in 2026, up from 13.22 million bpd in 2024.

In U.S. supply, crude oil stockpiles rose by 4.2 million barrels in the week ended March 7, market sources said, citing American Petroleum Institute figures on Tuesday.

Light Louisiana Sweet WTC-LLS for April delivery eased 10 cents at a midpoint of a $3.75 premium and was seen bid and offered between a $3.65 and $3.85 a barrel premium to U.S. crude futures CLc1

Mars Sour WTC-MRS firmed 25 cents at a midpoint of a $1.6 premium and was seen bid and offered between a $1.50 and $1.7 a barrel premium to U.S. crude futures CLc1

WTI Midland WTC-WTM firmed 5 cents at a midpoint of a $1.25 premium and was seen bid and offered between a $1.15 and $1.35 a barrel premium to U.S. crude futures CLc1

West Texas Sour WTC-WTS firmed 5 cents at a midpoint of a 80-cent premium and was seen bid and offered between a 65-cent and 95-cent a barrel premium to U.S. crude futures CLc1

WTI at East Houston WTC-MEH, also known as MEH, traded between a $1.40 and $1.60 a barrel premium to U.S. crude futures CLc1

ICE Brent May futures LCOc1 rose 28 cents to settle at $69.56 a barrel

WTI April crude CLc1 futures rose 22 cents to settle at $66.25 a barrel

The Brent/WTI spread WTCLc1-LCOc1 was little changed, last trading at minus $3.62, after hitting a high of minus $3.61 and a low of minus $3.66

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