BRENT AT 20 PERCENT PREMIUM TO WTI

BRENT CRUDE/WTI CRUDE RATIO ENCOUNTERING RESISTANCE

Market commentators have been forecasting that with the Iranian situation  temporarily resolved, an increased oil supply would bring down the price of Brent crude. so far without success. But with the United States steadily become less reliant on imported oil, the price of WTI crude continues in a sharp downtrend. As a consequence the Brent crude/WTI crude ratio has had a spectacular rise of 21 percent from its July 19 low with the result that Brent is standing at a 205 percent premium over WTI. Could it be time for a setback?