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

Any tentative for Crude to rebound have been squashed this week as the market breadth stay negative. The December WTI contract surged up more than  $2 during trading to recover  from a 5 month low and closed at $94.80/bbl, up +$1.43. December Brent slipped by-$0.09 to settle at $105.24/bbl. The US DOE Inventory saw a slightly lesser than expected in Crude of +1.58 mbbl vs +1.63 mbbl exp. though a build for a seventh straight week. The product inventories on the other hand showed draws which outweigh the increasing crude stockpile data. The distillates stockpile drew -4.90 mbbl against expected -1.30 mbbl while the gasoline stockpile saw a -3.76 mbbl decline against an expected -0.34 mbbl. The figures failed to impact prices. Market is trading sideway as most await today the ECB and the US 3rd Quarter GDP and to a lesser extent the US weekly jobless claims. On friday the unemployment figures is paramount for the market before an extended weekend in the US due to Veteran’s day. Note that US figures could be distorted due to the recent administration partial shutdown. This morning, crude prices are trading slightly down for WTI (-0,15%) and close to -0.70 % for Brent.

Fueloil Specifics

The Singapore fuel oil markets were mixed, ranging between -$2.0 to +$0.5 during the Platts window. The delivered bunker premiums remain supported between +$9.5 to +$11.5 above cargo prices. Rotterdam bunker market saw a falling demand but supplies are still running tight. HSFO bunker prices were quoted $2 mt higher while LSFO remained flat. Barges closed in the Window at $584 mt up $4 mt.

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) 1,43 94,80 ↓ 95,18 95,24 95,12 95,06 93,81 92,98 ICE Brent Swap (1st month) (0,09) 105,24 ↓ 104,71 104,56 104,53 104,31 103,38 102,59 ICE Gasoil Swap (1st month) 2,00 905,00 ↓ 891,67 890,67 889,75 889,92 885,47 883,16 3.5% Barges FOB Rtdm 4,00 570,00 ↓ 562,25 565,25 565,00 565,50 565,00 563,50 3.5% Cargoes FOB Med 2,50 570,00 ↓ 557,50 560,50 559,75 559,25 559,00 558,50 1.0% Cargoes FOB NWE 4,00 586,00 ↓ 583,00 586,50 587,25 587,25 588,50 586,00 3% no. 6 USGC WB (1,05) 88,45 ↑ 88,50 88,25 88,25 88,25 87,75 87,75 380 CST Cargoes FOB S'pore 0,50 600,25 ↓ 586,75 585,25 584,75 584,00 583,50 583,25 0.1 % GO Barges FOB Rtdm 1,50 904,00 ↓ 893,25 892,25 891,25 891,25 887,25 884,25 Physical Rotterdam 380 CST 2,00 574,75 ↓ 567,50 570,50 570,25 570,25 569,25 567,75 Physical Singapore 380 CST 0,00 609,50 ↓ 592,00 590,50 590,00 589,25 588,75 588,50

Economy fundamentals this week

Fundamental Indicators Statistic Importance Date Time Period Consensus Last Actual Factory Orders Medium 4-Nov 10:00 AM Sep 1.5% -0.1% 1.7% ISM Services High 5-Nov 10:00 AM Oct 55.0 54.4 55.4 Challenger Job Cuts Medium 6-Nov 7:30 AM Oct - 19.1% -4.2% Initial Claims Medium 7-Nov 8:30 AM 02-nov 335K 340K - GDP- Adv. High 7-Nov 8:30 AM Q3 1.9% 2.5% - Nonfarm Payrolls High 8-Nov 8:30 AM Oct 85K 148K - Unemployment Rate High 8-Nov 8:30 AM Oct 7.4% 7.2% - PCE Prices- Core Medium 8-Nov 8:30 AM Sep 0.1 0.2% - Mich Sentiment High 8-Nov 9:55 AM Nov 75.0 73.2 -

Source: OW Risk Management