Man! Capitalism and the Freedom to Trade Across Borders are Beautiful Things!

From Bespoke Investment Group’s morning message:     emphasis mine…

….gas prices in New York (where the
NYMEX future is benchmarked) currently trade
$15.48/bbl over where they trade in Rotterdam
(Europe’s busiest port) net of quoted shipping costs.
In Galveston, Texas (currently under partial
operations) gasoline is $9.62/bbl over Rotterdam
prices net of quoted shipping costs. In other
words, if traders can buy Rotterdam spot gasoline,
book passage on a refined product tanker, and sell it
forward in New York, they could be looking at $9mm
gross margins, including the $3.52 in shipping price.
For this reason, we expect PADD 1 product imports
to surge, and local gasoline price spikes in the US to
be temporary amidst a loose global products market.

Translation: Global traders/capitalists — seeking profits — are coming to the rescue of U.S. consumers hit by Harvey!

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