Bullboard - Stock Discussion Forum Cenovus Energy Inc T.CVE

Alternate Symbol(s): CVE | CVE.WS | T.CVE.WT | T.CVE.PR.A | CNVEF | T.CVE.PR.B | T.CVE.PR.C | T.CVE.PR.E | T.CVE.PR.G

Cenovus Energy Inc. is a Canada-based integrated energy company. The Company has oil and natural gas production operations in Canada and the Asia Pacific region, and upgrading, refining and marketing operations in Canada and the United States. The Company's segments include Upstream, Downstream, and Corporate and Eliminations. Its Upstream segment includes Oil Sands, Conventional, and Offshore.... see more

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Cenovus Energy Inc > Good read on oil backwardation

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Post by andy604 on Jul 18, 2024 11:05pm

Good read on oil backwardation

The premium for front-month U.S. crude oil futures over the second-month contract widened to its highest since October on Wednesday, LSEG data showed, as stocks at the WTI delivery point, Cushing, Oklahoma, fell last week to a three-month low.

The market structure called backwardation means investors can sell their oil at a higher price in the spot market, rather than for less profit next month, a sign that supply is tighter.

WTI crude futures for August delivery settled at $82.85 per barrel on Wednesday, while the September contract settled at $81.44 per barrel, creating a $1.61 premium for prompt barrels.

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