West Texas Intermediate (WTI)
West Texas Intermediate is used primarily in the U.S. It is light (API gravity) and sweet (low-sulfur) thus making it ideal for producing products like low-sulfur gasoline and low-sulfur diesel. Brent is not as light or as sweet as WTI but it is still a high-grade crude. The OPEC basket is slightly heavier and more sour than Brent. As a result of these gravity and sulfur differences, WTI typically trades at a dollar or two premium to Brent and another dollar or two premium to the OPEC basket.
In 2011 and 2012, WTI has been trading at a significant discount to Brent.
Read more about this topic: Benchmark (crude Oil)
Famous quotes containing the words west, texas and/or intermediate:
“We were young, we were merry, we were very very wise,
And the door stood open at our feast,
When there passed us a woman with the West in her eyes,
And a man with his back to the East.”
—Mary Elizabeth Coleridge (1861–1907)
“Fifty million Frenchmen can’t be wrong.”
—Anonymous. Popular saying.
Dating from World War I—when it was used by U.S. soldiers—or before, the saying was associated with nightclub hostess Texas Quinan in the 1920s. It was the title of a song recorded by Sophie Tucker in 1927, and of a Cole Porter musical in 1929.
“Complete courage and absolute cowardice are extremes that very few men fall into. The vast middle space contains all the intermediate kinds and degrees of courage; and these differ as much from one another as men’s faces or their humors do.”
—François, Duc De La Rochefoucauld (1613–1680)