Market in Brief

Yesterday was very quiet before the 1st May Holiday for a big part of Europe. June Brent Crude Oil closed at $119,70 up 10 cents and WTI at $104,81 up from $ 104,08. Market is still lacking direction. China’s Manufacturing rose to 53,3 from 53,1, a fifth month expansion and the highest reading in a year putting the market on positive note. Market will look at today’s Weekly API but with Crude Inventories close to a 21-year high in the US we expect this market to struggle higher for now. Traders are also looking forward to the Unemployment figure on Friday.
This morning the UK PMI Manufacturing came lower than expected at 50,5% vs 51,5% and later in the day we will focus on the ISM Manufacturing and Construction spending from the US. Crude is trading higher this morning.
 

Fueloil Specifics

The NWE bunker fuel oil markets started the week on a softer note. Delivered 380cst product in Rotterdam lost app. $3/mt while cargo prices remained unchanged from previous close. Rotterdam continues to struggle with tight avails for prompt deliveries and congestions at loading installations. Antwerp and Hamburg ports reported lower demand levels and good avails for both HSFO and LSFO. The Singapore fuel oil markets fell app.$1.5/mt during the morning Platts window yesterday. Demand was relatively quiet ahead of public holiday today, with loading dates possible after May 1st. Bunker fuel oil swaps gained up to $1/mt along the curve both for Rotterdam and Singapore papers with gains slightly stronger at the backend of the forward curve. This morning both markets are trading higher.
 

Settlement & Indications (mid values)

Economy fundamentals this week