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US Cash Crude-Grades slip despite slightly wider US/Brent spread

ReutersJul 21, 2025 8:16 PM

- U.S. sour cash crude grades weakened on Monday, dealers said, the day prior to the expiration of the U.S. crude futures contract.

The sour grades weakened despite a slightly wider discount of U.S. crude to the international benchmark Brent. The discount WTCLc1-LCOc1 widened to last trade at minus $3.23 a barrel, after hitting a high of minus $3.12 and a low of minus $3.25.

U.S. crude futures' discount to Brent narrowed to as little as $3.18 a barrel on Friday. A narrower spread makes U.S. grades less attractive to foreign buyers.

Minus $4 per barrel is typically considered the level that encourages U.S. exports, as traders see an open arbitrage route.

Abroad, the European Union approved on Friday the 18th package of sanctions against Russia over its war in Ukraine, which also targeted India's Nayara Energy, an exporter of oil products refined from Russian crude.

* Light Louisiana Sweet WTC-LLS for August delivery strengthened 10 cents at a midpoint of a $2.60 premium and was seen bid and offered between a $2.40 and $2.80 a barrel premium to U.S. crude futures CLc1

* Mars Sour WTC-MRS weakened 40 cents at a midpoint of a $1.40 discount and was seen bid and offered between a $1.50 and $1.30 a barrel discount to U.S. crude futures CLc1

* WTI Midland WTC-WTM weakened 15 cents at a midpoint of a 10-cent premium and was seen bid and offered between parity and 20-cent a barrel premium to U.S. crude futures CLc1

* West Texas Sour WTC-WTS weakened 20 cents at a midpoint of a 70-cent discount and was seen bid and offered between a 80-cent and 60-cent a barrel discount to U.S. crude futures CLc1

* WTI at East Houston WTC-MEH, also known as MEH, traded between a 20-cent and 40-cent a barrel premium to U.S. crude futures CLc1

* ICE Brent September futures LCOc1 fell 7 cents to settle at $69.21 a barrel

* WTI August crude CLc1 futures fell 14 cents to settle at $67.2 a barrel

* The Brent/WTI spread WTCLc1-LCOc1 widened to last trade at minus $3.23, after hitting a high of minus $3.12 and a low of minus $3.25

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