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

Yesterday crude prices rebounded and took back all previous day losses after dovish comments from Janet Yellen, the next chairman of the Federal Reserve. She said that the economy and labor market are performing “far short of their potential and have to improve before the Fed can start to reduce monetary stimulus”. Also ongoing civil protests in Libya are causing oil disruptions. Yesterday, API Inventory Report showed a seventh consecutive week of build: Oil was up 0,6 mbbl and so did distillate fuel +0,6 mbbl; only Gasoline stockpiles slid -1,67mbbl.After falling more than -$2.0 previously, the December WTI futures rose +$0.84 to $93.88/bbl and Brent contract gained +$1.31 to close $107.12/bbl. The US Energy Department will release its inventory report later today due to the public holiday on Monday. The expectations are as follows: Crude +0.99 mbbl, Distillates -1.29 mbbl, Gasoline -0.69 mbbl. This morning, crude prices are trading slightly higher.

Fueloil Specifics

The NWE bunker fuel oil prices strengthen yesterday following increasing Brent values. Delivered 380cst product in Rotterdam and Antwerp was assessed app.$1/mt up versus previous close. Suppliers continuously reported tight avails for prompt deliveries especially on the lsfo side. The Singapore fuel oil markets were trading lower, down -$8.0 to -$5.0 during the Platts window yesterday. The Asian cracks also came off sharply. The delivered bunker premiums slipped to +$7.5 to $10.0 above cargo prices yesterday on soft demand despite a lower outright prices. This morning both markets are trading slightly higher.

Settlement & Indications (mid values)

Product Yesterday's Values   Forward Indications Product Change Last Dir. Dec Jan Feb Q114 Q214 2014 NYMEX WTI Swap (1st month) 0,84 93,88 ↓ 94,33 94,62 94,77 94,72 94,18 93,25 ICE Brent Swap (1st month) 1,31 107,12 ↑ 106,88 106,54 106,55 106,25 105,33 104,62 ICE Gasoil Swap (1st month) (2,00) 901,25 ↑ 902,25 902,75 901,55 902,00 897,03 895,85 3.5% Barges FOB Rtdm (0,50) 566,00 ↑ 566,50 570,00 571,00 571,25 573,00 571,75 3.5% Cargoes FOB Med (0,25) 566,50 ↑ 561,75 564,75 565,25 564,50 566,50 566,00 1.0% Cargoes FOB NWE 0,25 584,00 ↑ 590,50 593,50 595,25 595,00 597,50 595,25 3% no. 6 USGC WB (0,10) 89,60 ↑ 89,20 89,20 89,45 89,20 89,20 89,20 380 CST Cargoes FOB S'pore (5,50) 592,75 ↑ 591,75 590,50 589,75 589,75 591,00 591,00 0.1 % GO Barges FOB Rtdm 5,75 901,00 ↑ 903,25 904,25 902,25 903,25 899,25 897,25 Physical Rotterdam 380 CST 1,00 574,25 ↑ 571,75 575,25 576,25 576,00 577,25 576,00 Physical Singapore 380 CST (6,50) 600,50 ↑ 597,00 594,75 595,00 595,00 596,25 596,25

Economy fundamentals this week

Fundamental Indicators Statistic Importance Date Time Period Consensus Last Actual MBA Mortgage Index Medium 13-Nov 7:00 AM 09-nov NA -7.0% -1.8% Treasury Budget Medium 13-Nov 2:00 PM Oct NA -$120.0B -$91.6B Initial Claims Medium 14-Nov 8:30 AM 09-nov 335K 336K - Trade Balance Medium 14-Nov 8:30 AM Sep -$38.5B -$38.8B - Productivity- Prel Medium 14-Nov 8:30 AM Q3 0.5% 0.0% - Empire Manufacturing Medium 15-Nov 8:30 AM Nov 3.0 1.5 - Industrial Production Medium 15-Nov 9:15 AM Oct 0.2% 0.6% - Capacity Utilization Medium 15-Nov 9:15 AM Oct 78.4% 78.3% - Wholesale Inventories Medium 15-Nov 10:00 AM Sep -0.1% 0.5% -

Source: OW Risk Management