The Brent-WTI spread has blown out......>

COMMODITIES: The Brent-WTI spread has blown out further Tuesday, widening to

just under $9/bbl as Brent firmly outperforms WTI. Front-month Brent has added

well over 5% (or $1) while WTI Jun'20 contract has shed a further $0.80 or 6.5%

in recent trade. At the expiry of the May'20 contract, the spread hit an extreme

of $11.83, which could well be tested if current trends persist. The Jun'20

contract expires on May 19th, with delivery from June 1st.

- The shift up the futures curve for WTI continues apace, with the rate

accelerating today after S&P Dow Jones notified markets that its GCSI

commodities indices would pre-roll all oil exposure from the June contract to

July and further up the curve, with those trades to take place immediately.

- Further up the curve, WTI crude futures are holding up remarkably well, with

all contracts from Jul'20 and beyond sitting in positive territory. Outside of

Jun'20 contract, volume and open interest are rising in Jul'20, Sep'20 and

Dec'20 contracts.