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.
|
|
| |
Crude prices declined for the second
straight day yesterday unwinding last week rally. Oil
prices weakened in late trading on Saudi Arabia oil
comments that they were pumping about 10 Mios
barrels/day and will produce more if needed. They also
expect Oil demand to slow down in the coming months. The
October WTI Crude Oil futures slid -$1.33 to $95.29/bbl
and November Brent dropped -$1.76 to $112.03/bbl. More
stimuli came during the Asian session from Japan with an
increase in their asset purchase by 10 trillion yen
($126 billion) which supported the
market.
Yesterday’s Weekly API number showed a built
of 2,3 Mios in Crude and 0,14 in Gasoline and a draw of
-1,1 Mios bbl in Distillates. Today we will look at US
Housing data and later the US Inventory Report from the
US Energy Department, expectations are as follows: Crude
+1.0, Distillates +1.0, Gasoline +1.2. This morning,
crude is trading up.
|
|
|
|
|
| |
The Northwest European bunker fuel oil
prices fell sharply yesterday following lower crude.
Cargo prices were assessed app.$16/mt down while
delivered 380sct product in Rotterdam was even weaker,
down by $18/mt. However, according to suppliers in the
main ports lower prices did not encourage buyers to fix.
The Singapore fuel oil markets plunged more than $15.0
during the morning Platts window yesterday. The
delivered bunker premiums strengthen to around $9.0-
10.5 above cargo prices as crude remained choppy and the
lower outright prices lifted demand. Bunker fuel oil
swaps lost more than $18/mt at the front of the forward
curve both in Rotterdam and Singapore papers. Backend
was slightly stronger, posting app.$16/mt losses. This
morning both markets continue to trade down.
|
|
|
| |
Settlement
& Indications (mid values) |
|
|
| |
| Product |
Yesterday's
Values |
Forward
Indications |
| Product |
Change |
Last |
Dir. |
Oct |
Nov |
Dec |
Q113 |
Q213 |
2013 |
| NYMEX WTI Swap (1st month) |
(1.33) |
95.29 |
↑ |
96.41 |
96.75 |
97.03 |
97.16 |
96.96 |
96.73 |
| ICE Brent Swap (1st month) |
0.78 |
112.03 |
↑ |
112.53 |
112.02 |
111.48 |
110.38 |
108.68 |
112.01 |
| ICE Gasoil Swap (1st month) |
(22.00) |
988.50 |
↓ |
983.92 |
978.00 |
972.08 |
960.17 |
943.36 |
942.61 |
| 3.5% Barges FOB Rtdm |
(16.50) |
644.25 |
↓ |
639.50 |
636.50 |
633.50 |
629.00 |
620.50 |
616.50 |
| 3.5% Cargoes FOB Med |
(21.00) |
639.50 |
↓ |
35.50 |
35.25 |
627.50 |
624.25 |
616.50 |
612.50 |
| 1.0% Cargoes FOB NWE |
(21.50) |
702.00 |
↓ |
690.00 |
682.50 |
676.25 |
667.25 |
655.25 |
651.25 |
| 3% no. 6 USGC WB |
(1.90) |
100.05 |
↑ |
100.00 |
99.40 |
98.65 |
98.20 |
96.85 |
96.13 |
| 380 CST Cargoes FOB S'pore |
(16.00) |
671.25 |
↓ |
663.00 |
659.75 |
657.00 |
652.75 |
644.25 |
640.00 |
| 0.1 % GO Barges FOB Rtdm |
(22.00) |
986.00 |
↓ |
984.25 |
978.25 |
973.25 |
961.25 |
945.25 |
944.25 |
| Physical Rotterdam 380 CST |
(18.00) |
650.25 |
↓ |
649.75 |
646.75 |
643.75 |
639.25 |
630.75 |
626.75 |
| Physical Singapore 380 CST |
(14.50) |
681.75 |
↓ |
673.25 |
670.00 |
667.25 |
663.50 |
655.00 |
650.75 |
|
|
|
| |
Focus of
the day: Singapore |
|
|
| |
Singapore's onshore fuel oil stocks last
week rose to a five-week high of 18.94million barrels,
while bunker sales in Singapore in August were at a
six-month low. Imports from the West remained heavy at
more than 600,000mt. Sources said arrivals were likely
to remain at similar levels with a total of 4 million mt
expected for the whole September. Traders predicted that
much of the product would head to China, where demand
from independent 'teapot' refineries has been picking
up. This weak bunker demand is expected to contribute to
a build-up of fuel oil stocks in Singapore. Western
arbitrage volumes are forecasted to remain heavy through
to the first half of October, although there have been
warnings that the disruption to Venezuelan suppliers
could be felt in the market by early November. There
have also been warnings that Singapore could face a glut
of high-viscosity material.
Singapore prices fell
sharply on Tuesday but players told Bunkerworld that
demand remained poor.
Meanwhile, the bunker
differential, the difference between ex-wharf bunker
prices and 380cst cargo prices has fallen to $4.85, its
lowest level for a month. The price of benchmark 380cst
grade slipped $13.50 to $678.50/mt while marine gas oil
(MGO) fell $14.50 to $991/mt. Demand was below average
and avails were fine. September 23 was the earliest date
for bunker deliveries.
|
|
|
| |
Economy
fundamentals this week |
|
|
| |
| Fundamental
Indicators |
| Statistic |
Importance |
Date |
Time |
Period |
Consensus |
Last |
Actual |
| Empire Manufacturing |
Medium |
17-Sep |
8:30 AM |
Sep |
-3.0 |
-5.9 |
-10.4 |
| Current Account Balance |
Medium |
18-Sep |
8:30 AM |
Q2 |
-$125.0B |
-$137.3B |
-$117.4B |
| NAHB Housing Market
Index |
Medium |
18-Sep |
10:00 AM |
08-Sep |
38 |
37 |
40 |
| MBA Mortgage Index |
Medium |
19-Sep |
7:00 AM |
15-Sep |
NA |
11.1% |
- |
| Housing Starts |
Medium |
19-Sep |
8:30 AM |
Aug |
775K |
746K |
- |
| Existing Home Sales |
Medium |
19-Sep |
10:00 AM |
Aug |
4.55M |
4.47M |
- |
| Initial Claims |
Medium |
20-Sep |
8:30 AM |
15-Sep |
375K |
382K |
- |
| Philadelphia Fed |
Medium |
20-Sep |
10:00 AM |
Sep |
-5.0 |
-7.1 |
- |
| Leading Indicators |
Medium |
20-Sep |
10:00 AM |
Aug |
0.0% |
0.4% |
- |
|
|
Source: OW Risk Management