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 declined more than $2.0 yesterday on the back of softer economic data. The June WTI contract closed at  $91.03/bbl, down -$2.43 and  Brent settled below the $100 mark at $99.95/bbl, down -$2.42. The market saw a sharp sell-off as Chinese Purchase Manager Index (PMI) and the US manufacturing data came out  weaker than expected. In a statement the Federal Reserve said that it will continue the quantitative easing measures and keep interest low until the economic outlook improves. The US inventory saw a massive build of +6.7 mbbl against the expected +0.9 mbbl, reaching a 82-year high, pressurizing further Crude prices. Today the focus will be on European PMIs and the ECB Rate decision where a 25 bps cut is expected. Jobless numbers and US Trade balance will be also closely watched this afternoon. This morning, crude is trading slightly higher.

Fueloil Specifics

The NWE bunker fuel oil markets closed yesterday with double digit loses following weakening crude. Delivered 380cst product in Rotterdam lost app.$12/mt while in Antwerp it was slightly stronger, down by nearly $9/mt. The majority of ports reported relatively quiet day while Rotterdam saw increased demand in the afternoon hours. The Singapore Fuel Oil market was closed yesterday on Labor Day holiday and reopened today. Bunker fuel oil swaps lost app.$14.5/mt at the front of the forward curve both for Rotterdam and Singapore papers. Backend was slightly weaker, down $15/mt. This morning both markets are trading higher.

Settlement & Indications (mid values)

Product Yesterday's Values Forward Indications Product Change Last Dir. May Jun Jul Q313 Q413 2014 NYMEX WTI Swap (1st month) (2,43) 91,03 ↑ 91,29 91,39 91,25 90,94 89,76 87,45 ICE Brent Swap (1st month) (2,42) 99,95 ↑ 100,23 99,79 99,42 99,11 98,28 96,41 ICE Gasoil Swap (1st month) (22,00) 822,75 ↑ 835,92 839,92 843,08 846,08 852,67 846,65 3.5% Barges FOB Rtdm (13,25) 568,00 ↑ 574,00 571,50 569,25 567,75 561,75 554,00 3.5% Cargoes FOB Med (14,50) 559,75 ↑ 567,50 566,75 564,75 564,25 556,25 550,25 1.0% Cargoes FOB NWE (13,75) 572,50 ↑ 584,75 590,25 593,75 593,50 588,75 580,50 3% no. 6 USGC WB (1,35) 88,98 ↑ 90,45 89,95 89,70 89,45 88,70 87,45 380 CST Cargoes FOB S'pore - - ↑ 598,75 595,25 592,50 591,50 586,50 579,75 0.1 % GO Barges FOB Rtdm (22,50) 822,50 ↑ 837,25 841,25 844,25 847,25 852,25 847,25 Physical Rotterdam 380 CST (12,00) 572,75 ↑ 581,25 578,75 576,50 575,00 569,00 561,25 Physical Singapore 380 CST - - ↑ 606,00 602,00 599,25 597,75 592,75 587,00

Economy fundamentals this week

Fundamental Indicators Statistic Importance Date Time Period Consensus Last Actual Personal Income Medium 29-apr 8:30 AM Mar 0.3% 1.1% 0.2% PCE Prices - Core High 29-apr 8:30 AM Mar 0.1% 0.1% 0.0% Chicago PMI Medium 30-apr 9:45 AM Apr 52.0 52.4 49.0 Consumer Confidence Medium 30-apr 10:00 AM Apr 61.0 59.7 98.1 ADP Employment Change Medium 01-maj 8:15 AM Apr 150K 158K 119K ISM Index Medium 01-maj 10:00 AM Apr 49.5 51.3 50.7 FOMC Rate Decision Medium 01-maj 2:15 PM May 0.25% 0.25% 0.25% Initial Claims Medium 02-maj 8:30 AM 27-apr 346K 339K - Trade Balance High 02-maj 8:30 AM Mar -$43.5B -$43.0B - Nonfarm Payrolls High 03-maj 8:30 AM Apr 150K 88K - Unemployment Rate High 03-maj 8:30 AM Apr 7.6% 7.6% - Factory Orders Medium 03-maj 10:00 AM Mar -2.5% 3.0% - ISM Services High 03-maj 10:00 AM Apr 54.0 54.4 -

Source: OW Risk Management