US Cash Crude-Grades broadly down as WTI/Brent spread narrows

HOUSTON, Dec 29 (Reuters) - Grades broadly fell on Monday, dealers said, as West Texas Intermediate crude futures' discount to Brent narrowed for the third straight day, weighing on export economics.

West Texas Intermediate crude futures' discount to Brent WTCLc1-LCOc1 narrowed to as little as $3.78 a barrel. A discount over $4 typically spurs export demand.

U.S. oil refiners are expected to have about 192,000 barrels per day (bpd) of capacity offline in the week ending January 2, decreasing available refining capacity by 47,000 bpd, research company IIR Energy said.

Offline capacity is expected to rise to 625,000 in the week ending January 9, IIR said.

Elsewhere, Saudi Arabia, the world's biggest oil exporter, is expected to lower the February price for its flagship Arab Light crude for Asian buyers for a third month, mirroring declines in the spot market due to ample supplies, sources said.

Investors face an over-supplied market going into 2026, according to the International Energy Agency.

• Light Louisiana Sweet for February delivery fell 55 cents to a midpoint of a $1.45 premium and was seen bid and offered between a 90-cent and $2.00 a barrel premium to U.S. crude futures CLc1 ​

• Mars Sour fell $1 to a midpoint of a $1.20 discount and was seen bid and offered between a $1.30 and $1.10 a barrel discount to U.S. crude futures CLc1 ​

• WTI Midland fell 5 cents to a midpoint of a 50-cent premium and was seen bid and offered between a 40-cent and 60-cent a barrel premium to U.S. crude futures CLc1 ​

• West Texas Sour rose 10 cents to a midpoint of a $2.50 discount and was seen bid and offered between a $3.25 and $1.75 a barrel discount to U.S. crude futures CLc1 ​

• WTI at East Houston, also known as MEH, traded between a 60-cent and 80-cent a barrel premium to U.S. crude futures CLc1 ​

• ICE Brent February futures LCOc1 rose $1.30 to settle at $61.94 a barrel

• WTI February crude CLc1 futures rose $1.34 to settle at $58.08 a barrel

• The Brent/WTI spread narrowed 4 cents to last trade at minus $3.86, after hitting a high of minus $3.78 and a low of minus $3.97