The spread between Brent crude oil futures contracts and U.S. WTI stood at its widest for three years on Friday with the latter set for a second consecutive week of declines as U.S. oil output comes close to matching that of top producer Russia. The premium has doubled to more than $11 a barrel in about a month as a lack of pipeline capacity in the United States traps much of the output inland. U.S. crude production has been rising to record levels since late last year. In March, it jumped 215,000 barrels per day (bpd) to 10.47 million bpd, a new monthly record, the Energy Information Administration said on Thursday. Click Read More below for additional information.

The U.S.-led war in Iran is costing Hapag-Lloyd $40 million to $50 million per week, its chief executive said, as fuel, insurance and other costs skyrocket during the conflict. The world’s fifth-largest container line also has six ships trapped in the Persian Gulf as Iran chooses which vessels can safely transit the Strait of Hormuz.  “Costs are increasing sharply. If we look at the impact that this has on us, then we talk easily about $40 million or $50 million per week that we are facing at this point in time,” said Hapag-Lloyd CEO Rolf Habben Jansen, on an earnings call, “mainly related to bunker [fuel], but also insurance costs are up significantly and so are costs related to storage and in some cases also inland transportation.”