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 closed mixed yesterday with the US WTI up by +$0.79 to $92.59/bbl  and Brent -$0,36  lower to settle at $106.39/bbl. The API Weekly numbers showed a big draw of -4.1 mbbl on Crude and -1.7 mbbl on Distillates but a built of 5.4 mbbl on Gasoline. The US December Retail figures reported a better than expected number which lifted the equity sector on hopes the US economy is on a solid growth track. Brent prices on the other hand are softening on generally better geopolitical situation in the Middle East so far. The US Energy Department will release its Inventory Report later today and the expectations are as follows: Crude -0.61 mbbl, Distillates +1.46 mbbl, Gasoline +2.54 mbbl. This morning, crude prices are trading relatively flat.

Fueloil Specifics

The Northwest European bunker fuel oil prices closed one more day with slight loses yesterday. Delivered 380cst product in Rotterdam and Antwerp was assessed app.$2/mt down. Suppliers in Rotterdam reported average demand and plenty of product. The Singapore fuel oil markets rose marginally between flat to +$1.0 during the Asian Platts window yesterday. Strong buying interest resulted in the narrowing of the Asian Fuel Oil cracks. The delivered bunker premiums were seen at app. $5.5 above cargo prices yesterday. This morning both markets are trading slightly higher.

Settlement & Indications (mid values)

Product Yesterday's Values   Forward Indications Product Change Last Dir. Feb Mar Apr Q214 Q314 Q414 NYMEX WTI Swap (1st month) 0,79 92,59 ↑ 92,84 92,64 92,23 91,54 89,46 87,64 ICE Brent Swap (1st month) (0,36) 106,39 ↑ 105,33 105,02 104,76 104,43 103,21 102,21 ICE Gasoil Swap (1st month) (6,75) 900,25 ↑ 900,08 895,33 891,58 891,19 888,36 883,19 3.5% Barges FOB Rtdm (4,25) 555,25 ↑ 565,25 566,25 566,50 566,25 565,00 561,75 3.5% Cargoes FOB Med (3,25) 560,25 ↑ 561,50 562,75 563,75 563,50 559,00 561,25 1.0% Cargoes FOB NWE (1,50) 576,25 ↑ 580,00 583,25 586,25 587,50 587,00 580,50 3% no. 6 USGC WB 0,38 87,23 ↑ 88,45 88,45 88,70 88,20 88,20 87,95 380 CST Cargoes FOB S'pore 0,75 602,75 ↑ 595,25 589,75 588,00 587,25 585,50 584,25 0.1 % GO Barges FOB Rtdm (5,50) 900,50 ↑ 901,25 896,25 893,25 891,25 888,25 883,25 Physical Rotterdam 380 CST (2,00) 561,00 ↑ 570,50 571,50 571,75 571,50 570,25 567,00 Physical Singapore 380 CST 0,50 608,50 ↑ 600,50 595,00 593,25 592,50 590,75 589,50

Economy fundamentals this week

Fundamental Indicators Statistic Importance Date Time Period Consensus Last Actual Retail Sales High 14-Jan 8:30 AM Dec -0.3% 0.7% 0.2% Business Inventories Medium 14-Jan 10:00 AM Nov 0.2% 0.7% 0.4% Core PPI Medium 15-Jan 8:30 AM Dec 0.1% 0.1% - Empire Manufacturing Medium 15-Jan 8:30 AM Jan 4.0 1.0 - Initial Claims Medium 16-Jan 8:30 AM 11-jan 335K 330K - Core CPI High 16-Jan 8:30 AM Dec 0.2% 0.2% - Philadelphia Fed Medium 16-Jan 10:00 AM Jan 8.0 6.4 - Housing Start Medium 17-Jan 8:30 AM Dec 945K 1091K - Building Permits Medium 17-Jan 8:30 AM Dec 1000K 1007K - Industrial Production Medium 17-Jan 9:15 AM Dec 0.3% 1.1% - Mich Sentiment High 17-Jan 9:55 AM Jan 81.5 82.5 -

Source: OW Risk Management