Brent-WTI spread hit 24-month high

Brent-WTI spread widened close to $6 levels; the highest in 24 months as Hurricane Harvey ensured the US oil remained landlocked. 

Brent has rallied more than 15% since bottoming out in June. Meanwhile, WTI has gained 10.7%. Brent currently trades 15 cents or 0.30% lower on the day around $51.51/barrel and WTI is down 13 cents or 0.28% at $46.30/barrel. 

US oil prices settled at the lowest level in more than a month as refinery outages meant lower demand. However, the dip could be short lived as there are signs of falling inventories. The American Petroleum Institute (API) reported a big draw of 5.78 million barrels in United States crude oil inventories, compared to analyst expectations of a draw of 1.75 million barrels for the week ending August 25.