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?