Case: Middle East Sour Grade Repricing
When refinery demand for sour barrels rises, official selling prices and spot differentials can widen even if Brent is flat.
Key Takeaways
- Differentials transmit refinery economics into physical trade decisions.
- Benchmark direction and grade spread direction can diverge for weeks.
- Freight and quality need to be read together, not in isolation.
References
Last reviewed: 2026-03-21