A bunker fuel and oil report, detailing the day per day trading patterns and prices in the market.The report is prepared from OW Risk Management and covers all major bunker fuel oil markets around the world, including all major ports, ranging from Singapore to Rotterdam.

Market in Brief

Crude prices settled lower after two straight sessions with gains. The May Brent contract lost -$0.52 and closed at $107.43/bbl and WTI came down -$0.20 to $103.40/bbl. The Brent/ WTI spread narrowed to around $4.0/bbl a new -year-low. The US weekly jobless claims came out  lower than expected at +300k vs +332k the lowest level since 2007 confirming that the US job market is on the right path. US equities sold off heavily with the Biotech oriented Nasdaq losing more than 3.1% its worst day since November 2011. Falling prices in China have reinforced fears of a slowdown in the world’s second largest economy. Despite the bearish sentiment oil held out quite well probably helped by a weaker US dollar and warnings from Russia that they will halt gas supplies to Ukraine if no immediate action was taken  to resolve the unpaid bills. IEA said that Oil shipment from Iran is at its highest since the sanctions began at 1,65mbbl. Today the Market is looking at the beginning of the Quarterly Earnings season and the Michigan Confidence. This morning, crude prices are trading down around-0,30%.   Dear readers,   Please note that due to Easter Holidays the Daily Market Update will not be published during 14-21 April. The publication will start again on Tuesday, April 22. The Risk Managment team wishes you a happy Easter!!!

Fueloil Specifics

Mops rose nearly two Dollars in the window to 589.7 while Barges closed down one dollar to 576.25. The Singapore fuel oil prices extended its gain by another +$2.0 to +$4.0 during the Platts window. The delivered bunker premiums in Singapore came off to between +$0.5 to $3.0 above cargo prices as bunker demand was dampened by higher outright prices. The spread between European High Sulfur and low sulfur oil is gradually narrowing. LS still trades with a deep backwardation.

Settlement & Indications (mid values)

Product Yesterday's Values   Forward Indications Product Yesterday's Values Forward Indications               Product Change Last Dir. May Jun Jul Q314 Q414 Q115 NYMEX WTI Swap (1st month) (0,20) 103,40 ↓ 101,76 100,77 99,75 101,77 98,79 96,05 ICE Brent Swap (1st month) (0,52) 107,46 ↓ 107,11 106,94 106,94 106,51 104,63 103,02 ICE Gasoil Swap (1st month) (1,75) 902,25 ↓ 899,42 898,33 899,83 899,86 896,75 - 3.5% Barges FOB Rtdm (1,00) 576,75 ↓ 575,00 574,75 574,25 573,50 569,75 568,25 3.5% Cargoes FOB Med (3,25) 564,75 ↓ 570,00 571,00 570,00 570,00 566,25 564,75 1.0% Cargoes FOB NWE (4,75) 627,50 ↓ 610,25 605,75 603,75 603,00 594,50 586,25 3% no. 6 USGC WB (0,31) 89,88 ↓ 89,70 89,50 89,42 89,34 88,83 88,53 380 CST Cargoes FOB S'pore 2,00 589,50 ↓ 591,75 593,25 593,25 593,25 591,50 590,25 0.1 % GO Barges FOB Rtdm (2,50) 900,50 ↓ 900,25 899,25 899,25 898,25 895,25 - Physical Rotterdam 380 CST (3,00) 577,00 ↓ 580,25 580,00 579,50 578,75 575,00 573,50 Physical Singapore 380 CST 2,00 592,50 ↓ 597,00 598,50 598,50 598,50 596,75 595,50

Focus of the day: Piraeus

Crude market was volatile this week but the tendency was downwards and this was depicted on the average CIF MED 3.5% for this week which was lower by $ 3.6 compared to last week. Demand in the East Med was high and both Piraeus and Istanbul are now seeing a steady demand for volume required by cruisers. Product availability is good in Piraeus and both refineries are working normally. A 24 hour strike on Wednesday did not the least affect supplies and there is no supply disruptions planned for the near future. Business is expected to slow down because of the Easter holidays next week; custom offices will close for the holiday, but loadings and supplies for already placed stems will take place normally.

Economy fundamentals this week

Fundamental Indicators Fundamental Indicators               Statistic Importance Date Time Period Consensus Last Actual Consumer Credit Medium 7-Apr 3:00 PM Feb $13.5B $13.7B $16.5B Wholesale Inventories Medium 9-Apr 10:00 AM Feb 0.6% 0.6% 0.5% Intial Claims Medium 10-Apr 8:30 AM 05-apr 325K 326K 300K Continuing Claims Medium 10-Apr 8:30 AM 29-mar 2850K 2836K 2776K Treasury Budget Medium 10-Apr 2:00 PM Mar NA -$106.5B -$36.9B Core PPI Medium 11-Apr 8:30 AM Mar 0.1% -0.2% - Mich Sentiment Medium 11-Apr 9:55 AM Apr 81.0 80.0 -

Source: OW Risk Management