US Cash Crude - LLS soars as time spreads collapse

HOUSTON, Jan 12 (Reuters) - Light Louisiana Sweet soared Monday
on the U.S. cash crude market as calendar spreads between West Texas
Intermediate futures contracts gaped, traders said.

Among headliner grades, LLS LLS- rose 85 cents to sell at
$6.25 a barrel over WTI CLc1. Mars sour MRS- was unchanged but
very strong, in historical terms, at -30 cents.

WTI at Midland WTM-, a sweet grade, was found in the unusual
position of selling at the same differential as West Texas Sour
WTS-, -60 cents.

WTM was weaker by 50 cents. WTS was stronger by 15 cents.

Traders blamed continued outage of the Delek US Holdings (DK.N)
refinery in East Texas [REF/US] for the weakness of WTM and the
calendar spread situation for the strength of WTS.

On futures markets, the front-month spread CL-1=R widened to
more than -$6.00, from -$5.27 Friday.

A weaker front month generally means stronger cash
differentials, and calendar spreads are very weak, traders said. The
gap between February and May reached nearly -$12 Monday.

Among futures, February WTI on the New York Mercantile Exchange
slid $3.24 to $37.59 a barrel. February Brent lost $1.51 to $42.91.
The trans-Atlantic spread CL-LCO1=R exceeded -$5.00.

Among other cash crudes, Heavy Louisiana Sweet HLS- gained 30
cents to +$2.30. Poseidon sour PSD- was steady at -50 cents. There
was a March deal for LLS at +$4.10, up 35 cents.

On the West Coast, Alaska North Slope ASW- crude stayed $5.60
under WTI CLc1. Buyers cut offers for California crudes by $3.10
to $3.25, trailing WTI weaker.

Click on PPGR for a list of the domestic grades.
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DATA LINKS:
Energy Speed Guide ENERGY Crude Speed Guide <CRUDES/1>
NYMEX WTI futures <0#CL:> ICE Brent futures <0#LCO:>
US crude prices PPGR US crude differentials BRNV
Freight rates <0#FRT->
NEWS LINKS:
NYMEX Market reports [O/N] ICE market reports [O/L]
US Cash crude deals [CRU/TU] Foreign crude deals [CRU/T] Dirty
tanker news [TAN/CRU] Dirty tanker fixtures [TAN/D] Weekly US oil
data [EIA/S] US crude outlook [US/CRU]
US Refinery outages [REF/US] US Cash oil products [PRO/U]
US products outlook [US/PRO]
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(Reporting by Joshua Schneyer; Editing by Marguerita Choy)