Crude Oil and Gasoline Prices End Mixed in May

Strategic Insights -

The crude oil and gasoline markets at the New York Mercantile Exchange (Nymex) ended the trading day on May 19, 1995 with mixed results. The June crude oil futures price ended at $20.06/bbl, a gain of 6 cents, while the July crude oil futures price gained 9 cents to settle at $19.91/bbl. Gasoline futures prices for June deliveries also ended the day in a mixed state, settling down 0.16 cents at 66.34 cents/gallon.

Key Takeaways:

  • The June crude oil futures price held steady at $20.06/bbl, awaiting its expiration on May 19, 1995.
  • The July crude oil futures price gained 9 cents to settle at $19.91/bbl, as traders forecast higher prices in the coming weeks.
  • Gasoline futures prices for June deliveries eased back from a daily high of 66.75 cents to settle at 66.34 cents/gallon.
  • Analyst Elaine E. Levin of Smith Barney Inc. expects crude prices to move higher, easily upholding a $20/bbl level and moving to $21/bbl after the June contract expires.
  • The Brazilian strike, in its 17th day on May 19, 1995, has had a minimal impact on prices but has provided underlying support to prices, as buying in the Gulf Coast cash market has fallen off somewhat.
  • Gulf Coast cash gasoline prices averaged 1 cents-1.25 cents under the June contract on Nymex, with a softening in prices due to a correction after extreme prices.

Statistics:

  • June crude oil futures price: $20.06/bbl
  • July crude oil futures price: $19.91/bbl
  • Gasoline futures price for June deliveries: 66.34 cents/gallon
  • Crack spread: $7.80/bbl
  • Discount for Canadon Seco grade: $2.50/bbl
  • Spread between Gulf Coast cash and New York Harbor prices: 0.75 cents

Sources:

  • WASHINGTON -- (no date provided)
  • Elaine E. Levin, analyst with Smith Barney Inc.
  • A New York-based trader (no name provided)
  • A Gulf Coast trader (no name provided)
  • A Midcontinent gasoline trader (no name provided)