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 Oil prices remain directionless. The October WTI contract closed at $94.62/bbl, down -$0.87 erasing previous gain as Hurricane Isaac abated and production is expected to resume soon. Brent inched up +$0.11 to settle at $112.65/bbl which widens the WTI to Brent futures back to more than $18/bbl. Generally, market is adopting a wait-and-see attitude before the US Federal Reserve chairman speech at Jackson Hole later today with many expecting no major announcement before the FOMC meeting. The Euro and equities declined yesterday as well. The Eurozone July unemployment figures and US Michigan Confidence and Factory orders will be released later today. This morning, crude is trading slightly up.

Fueloil Specifics

The NWE fuel oil market prices firmed yesterday. Delivered 380cst product in Rotterdam and cargo prices were assessed app.$3/mt higher versus previous day close. Antwerp port saw tightening supply avails mainly due to refinery maintenance. The Singapore fuel oil markets rebounded after the recent loss, up by $5.0- 6.5 during the morning Platts window yesterday. The latest heavy residual inventory showed a build of +1.0 mbbl to 17.3 mbbl after several weeks of draws. The delivered bunker premiums remained around $7.0- 8.5 above the cargo prices. This morning both markets are trading higher.

Settlement & Indications (mid values)

Product Yesterday's Values Forward Indications Product Change Last Dir. Sep Oct Nov Q113 Q213 2013 NYMEX WTI Swap (1st month) (0.87) 94.62 ↑ 95.20 95.55 95.92 96.51 96.42 95.88 ICE Brent Swap (1st month) 0.11 112.65 ↑ 112.95 112.51 112.10 110.82 109.54 112.10 ICE Gasoil Swap (1st month) 5.75 984.25 ↑ 987.08 983.92 978.83 962.97 947.31 946.73 3.5% Barges FOB Rtdm 3.25 644.50 ↑ 646.25 643.00 639.75 632.00 623.50 619.75 3.5% Cargoes FOB Med 0.75 638.50 ↑ 640.50 637.50 634.50 627.25 619.00 615.50 1.0% Cargoes FOB NWE 1.25 706.00 ↑ 703.25 693.50 685.75 669.00 659.25 654.75 3% no. 6 USGC WB 0.00 100.75 ↑ 100.50 100.25 99.75 97.50 96.25 97.00 380 CST Cargoes FOB S'pore 6.00 672.25 ↑ 670.50 665.75 662.00 655.00 646.25 642.75 0.1 % GO Barges FOB Rtdm 2.50 980.25 ↑ 987.25 984.25 979.25 964.25 949.25 948.25 Physical Rotterdam 380 CST 3.00 650.75 ↑ 656.50 653.25 650.00 642.25 633.75 630.00 Physical Singapore 380 CST 6.00 682.00 ↑ 680.75 676.00 672.25 665.75 657.00 653.50

Economy fundamentals this week

Fundamental Indicators Statistic Importance Date Time Period Consensus Last Actual Case-Shiller 20-city Index High 28-Aug 9:00 AM Jun -0.3% -0.7% 0.5% Consumer Confidence Medium 28-Aug 10:00 AM Aug 66.5 65.9 60.6 GDP- Second Extimate Medium 29-Aug 8:30 AM Q2 1.6% 1.6% 1.6% Fed's Beige Book Medium 29-Aug 2:00 PM Aug - - - Initial Claims Medium 30-Aug 8:30 AM 25-Aug 370K 372K 374K Personal Income High 30-Aug 8:30 AM Jul 0.2% 0.5% 0.3% Personal Spending Medium 30-Aug 8:30 AM Jul 0.5% 0.0% 0.4% PCE Prices Medium 30-Aug 8:30 AM Jul 0.1% 0.2% 0.0% Chicago PMI Medium 31-Aug 9:45 AM Aug 53.0 53.7 - Michigan Sentiment Medium 31-Aug 9:55 AM Aug 74.0 73.6 - Factory Orders Medium 31-Aug 10:00 AM Jul 2.1% -0.5% -

Source: OW Risk Management