Traders and analysts are questioning the credibility of the benchmark Light Sweet Crude oil future on the New York Mercantile Exchange, after the price difference between the contract and other oil futures widened further at the end of last week.
The contract, known as the West Texas Intermediate or WTI, fell $1.88 to $35.40 a barrel on Thursday January 15 after touching an intraday low of $33.70.
Meanwhile, the Brent crude contract on ICE Futures Europe, which was due to expire at the close of Thursday’s session, fell 39 cents to $44.69 a barrel – nearly 33% higher than the WTI. The March Brent contract lost 44 cents to $47.18.
On...