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What: Shares of Western Refining
So what: Refiners are being hit hard today as oil surges higher. But what's worse in the long term for some refiners is that they won't be able to take advantage of a large spread between West Texas Intermediate, or WTI, oil prices versus Brent crude because of a pipeline reversal. When Enbridge
Now what: Refiners have used the spread in oil prices to enhance profits, so investors are speculating that the spread will come down and profits will fall. With oil on the rise anyway, I don't think that refiners are where I want to be right now. I don't see anything that makes me want to buy here and would avoid the sector in the face of rising costs.
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Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.
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