W.Africa Crude - Oversupply of crude grades weighs on market

LONDON, July 17 (Reuters) - West African crude differentials were starting to edge up but the oversupply of crude was still weighing on the market, traders said.

• While prices weren't falling, the market was still oversupplied in the short term as per the contango in the CFDs despite the strait's closure, a trader said.
• West African grades have received stiff competition from Latin American, United States, and Middle Eastern grades in their core demand regions in recent weeks.
• While there was a slightly improved sentiment, high freight rates for loadings in the coming month were also hampering demand, another trader said.