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 lost more than $1/bbl on close yesterday. Market fundamentals were weak as International Energy Agency (IEA) revised downwards its global oil demand forecast for the rest of the year. Despite strong equities and also a firmer Euro, Crude Oil was on the defensive. The US weekly jobless claims data were lower but the continuing higher giving no support to the market. The May WTI futures closed at $93.51/bbl, down -$1.13 and Brent futures settled at $104.27/bbl, down by -$1.52. A series of US economic data will be released later today which includes the US March retails sales data, the US March core PPI and the April consumer sentiment index to provide further guidance. This morning, the crude is trading sharply down(-1,42%).

Fueloil Specifics

Bunker fuel oil prices fell slightly yesterday in the main NWE ports following weakening crude oil. Delivered 380cst product in Rotterdam was assessed app.$1/mt down while it lost nearly $3/mt in Antwerp. Demand picked up slightly in the main ports. Rotterdam reported tight MGO avails for prompt deliveries mainly due to the large volumes exported to Med and South America. The Singapore fuel oil markets dipped between -$2.0 and -$0.5 during the morning Platts window yesterday. The Singapore heavy residual inventory saw a build of +1.6 mbbl to 17.94 mbbl. The delivered bunker premiums were around $7.5 above cargo prices. This morning both markets are trading down.

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) (1,13) 93,51 ↓ 93,00 93,20 93,20 92,94 92,08 90,66 ICE Brent Swap (1st month) (1,52) 104,27 ↓ 103,25 103,15 102,95 102,65 101,65 99,28 ICE Gasoil Swap (1st month) (10,50) 882,00 ↓ 870,00 873,92 876,25 878,64 878,44 867,91 3.5% Barges FOB Rtdm 0,50 594,25 ↓ 584,00 582,00 580,25 578,50 574,25 565,25 3.5% Cargoes FOB Med 0,75 581,50 ↓ 578,50 577,00 575,25 575,25 568,50 562,25 1.0% Cargoes FOB NWE (0,25) 600,50 ↓ 600,50 604,50 606,50 606,00 601,75 593,75 3% no. 6 USGC WB (0,44) 92,31 ↓ 92,30 91,80 91,55 91,55 90,55 89,30 380 CST Cargoes FOB S'pore (1,75) 620,75 ↓ 608,00 605,50 604,25 602,75 598,75 592,25 0.1 % GO Barges FOB Rtdm (8,25) 879,25 ↓ 871,25 875,25 877,25 879,25 880,25 869,25 Physical Rotterdam 380 CST (1,00) 596,00 ↓ 591,25 589,25 587,50 585,75 580,50 573,50 Physical Singapore 380 CST (1,50) 629,25 ↓ 615,25 612,75 611,50 610,00 606,00 599,50

Economy fundamentals this week

Fundamental Indicators Statistic Importance Date Time Period Consensus Last Actual Wholesale Inventories Medium 09-apr 10:00 AM Feb 0.5% 1.2% -0.3% Treasury Budget Medium 10-apr 2:00 PM Mar -$107.0B -$198.2B -$106.5B Initial Claims Medium 11-apr 8:30 AM 06-apr 355K 385K 346K Continuing Claims Medium 11-apr 8:30 AM 06-apr 3050K 3063K 3079K Retail Sales High 12-apr 8:30 AM Mar 0.0% 1.1% - Core PPI High 12-apr 8:30 AM Mar 0.2% 0.2% - Mich Sentiment High 12-apr 9:55 AM Apr 76.0 78.6 - Business Inventories Medium 12-apr 10:00 AM Feb 0.6% 1.0% -

Source: OW Risk Management