Why is nobody doing Arbitrage?
there is a premium that must be paid for buying oil around euroislamistan
>>62775678But why?
>>62776791cause it costs more money to ship it there
>>62776796No way it does with 12 dollar spread.
>>62776791Brent needs more processing than WTI to get the same end product. Think of it as sand needing to be removed and it costs $12 per barrel to do so
>>62776802According to this logic Brent needs to be the cheaper one. Also in normal years the spread is much lower.
>>62775674>Why is nobody doing Arbitrage?There's no arbitrage. It's just a slightly different oil.