Why is the price spread between #BZ and #CL so large?
Historically, the spread between #Brent and #WTI has not been this dramatic for most of the time. (See the chart below showing the spread from 1986 to 2026.)
Truly extreme spreads tend to occur only during a few exceptional periods.
An extreme market of historic proportions occurred once in 2011–2013, after which the spread reverted for a long time. It widened significantly again in 2022 and 2026.
“How much longer can BZ’s premium over CL last?”
If history repeats itself, will this extreme spread eventually revert?
Historically, the spread between #Brent and #WTI has not been this dramatic for most of the time. (See the chart below showing the spread from 1986 to 2026.)
Truly extreme spreads tend to occur only during a few exceptional periods.
An extreme market of historic proportions occurred once in 2011–2013, after which the spread reverted for a long time. It widened significantly again in 2022 and 2026.
“How much longer can BZ’s premium over CL last?”
If history repeats itself, will this extreme spread eventually revert?
