Why is the price quoted on radio and television different to that quoted on Bloomberg?
There are about 160 different Crude Oils on the market. Some are heavier, they have longer Carbon-Hydrogen chains and are more difficult to refine into petrol, some are lighter and easier to refine. Some contain very little sulphur, others contain a lot. The quality and weight of the crude oil makes a difference to the price. The prices quoted on radio and TV depend on which “crude” they refer to. The benchmarks most frequently quoted are: • WTI (West Texas intermediate) crude oil at a reference sales point in Cushing, Oklahoma. This oil is of very high quality and is excellent for refining a larger portion of gasoline. It is a “light” crude oil, and it contains only about 0.24 percent of sulphur (making it a “sweet” crude oil) • Brent, (or rather Brent Blend) is a combination of crude oil from 15 different oil fields in the Brent and Ninian systems, located in the North Sea. It is still classified as a “light” crude oil, but not as “light” as WTI. It contains about 0.37 percent of sul
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