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 Oil sell off continued after the news of December Saudi Arabia crude oil export prices cut to US even if they increased prices to Asia and Europe. The December WTI futures settled at $77.19/bbl, down -$1.59 and Brent dropped -$1.96 to close at $82.82/bbl. There are rumors that Oil price weakness has prompted the Chinese to increase their strategic Oil prices. The US ban on crude exports is being tested as BHP Billiton will sell $50m of ultralight oil from Texas abroad without official approval from the US government. There is still a lot of speculation going on before the 27th of November OPEC meeting where views from analysts diverge from no change to a production cut of 1,0- 1,5mbbl. The US Department of Energy will release its Weekly Inventory Report later today and the expectations are as follows: Crude +2.30 mbbl, Gasoline -0.50 mbbl, Distillates -1.70 mbbl. This morning, crude prices are trading down -0,85% for Brent and -0,41% for WTI.

Fueloil Specifics

The NWE bunker fuel oil prices fell drastically yesterday following weakening Brent values. Delivered 380cst product both in Antwerp and Rotterdam was assessed nearly $16/mt down at the end of the day. Suppliers saw sharper demand but continued to struggle with product avails keeping premiums over ex-wharf barges at steady levels. The Singapore fuel oil prices shredded more than -$10.5 during the Asian Platts window tracking the massive fall in crude values. The delivered bunker premiums rose stronger to app. $9.0 above cargo prices. This morning both markets continue trading down.

Settlement & Indications (mid values)

Product Yesterday's Values   Forward Indications Product Change Last Dir. Nov Dec Jan Q115 Q215 2015 NYMEX WTI Swap (1st month) (1,59) 77,19 ↓ 76,62 76,60 76,61 76,63 76,80 77,27 ICE Brent Swap (1st month) (1,96) 82,82 ↓ 82,33 82,86 83,86 84,76 86,02 88,43 ICE Gasoil Swap (1st month) (20,25) 726,25 ↓ 721,75 721,92 731,50 - - - LS ICE Gasoil Swap (1st month) - - ↓ - - - 736,39 744,50 748,80 3.5% Barges FOB Rtdm (17,00) 429,25 ↓ 428,75 427,25 430,00 433,25 440,25 443,75 3.5% Cargoes FOB Med (15,75) 436,25 ↓ 431,25 425,75 428,00 431,25 438,25 441,75 1.0% Cargoes FOB NWE (14,75) 435,00 ↓ 433,50 433,00 436,50 440,00 447,75 452,00 3% no. 6 USGC WB (1,45) 65,75 ↓ 65,90 66,85 67,25 67,80 68,98 69,91 380 CST Cargoes FOB S'pore (10,25) 461,25 ↓ 458,00 458,75 457,50 459,25 463,50 467,50 0.1 % GO Barges FOB Rtdm (21,75) 725,25 ↓ 721,25 721,25 731,25 724,25 733,25 737,25 Physical Rotterdam 380 CST (16,00) 437,50 ↓ 439,00 437,50 440,25 441,50 449,50 453,00 Physical Singapore 380 CST (8,00) 469,50 ↓ 468,25 469,00 467,75 467,50 472,75 476,75

Economy fundamentals this week

Fundamental Indicators Statistic Importance Date Time Period Consensus Last Actual ISM Index High 3-Nov 10:00 AM Oct 55.9 56.66 59.0 Construction Spending Medium 3-Nov 10:00 AM Sep 1.1% -0.8% -0.4% Factory Orders Medium 4-Nov 10:00 AM Sep -0.5% -10.1% - ADP Employment Change Medium 5-Nov 8:15 AM Oct 235K 213K - ISM Services High 5-Nov 10:00 AM Oct 58.0 58.6 - Challanger Job Cuts Medium 6-Nov 7:30 AM Oct NA -24.4% - Initial Claims Medium 6-Nov 8:30 AM 01-nov 290K 287K - Productivity- Prel Medium 6-Nov 8:30 AM Q3 1.5% 2.3% - Nonfarm Payrolls High 7-Nov 8:30 AM Oct 275K 248K - Unemployment Rate High 7-Nov 8:30 AM Oct 6.0% 5.9% -

Source: OW Risk Management