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 rebounded slightly yesterday boosted by favourable US economic readings. The January Consumer Confidence index and Shiller-20City-Index home prices showed a higher than expected reading lifting market sentiment with equities closing in the green. The March WTI futures  settled at $97.41/bbl, up +$1.69 and  March Brent rose +$0.79 to $107.41/bbl. The US December Durable Goods were lower than expected though at -4,3 vs +1,8 expected. The Weekly API showed a build in Crude and Gasoline respectively of +4,75mbbl and 0,36 mbbl and a draw in Distillates (-1,79 mbbl). Today market focus will be on two main drivers: the Weekly US Energy Department of Energy stocks report and the outcome of the US FOMC meeting. The US inventory expectations are as follows: Crude +2.34 mbbl, Distillates -2.23 mbbl, Gasoline +1.13 mbbl. This morning, crude prices are trading lower for WTI (-0,42%) and flat for Brent.

Fueloil Specifics

The Northwest European bunker fuel oil markets firmed yesterday following stronger crude oil values. Delivered 380cst product both in Antwerp and Rotterdam was assessed nearly $7/mt higher versus previous close. The Singapore fuel oil markets rose up to +$1.0 during the Asian Platts window despite previous lower crude closing. The Asian fuel oil narrowed led by a stronger European cracks. The delivered bunker premiums were strengthening to around +$9.5 above cargo prices yesterday on tighter supply. 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) 1,69 97,41 ↓ 96,78 96,30 94,81 94,80 92,30 90,11 ICE Brent Swap (1st month) 0,79 107,41 ↓ 107,02 106,58 106,21 105,86 104,56 102,93 ICE Gasoil Swap (1st month) 3,00 917,50 ↑ 913,58 908,75 905,08 903,14 898,50 892,11 3.5% Barges FOB Rtdm 5,25 568,50 ↑ 574,00 575,00 575,00 574,75 572,75 569,00 3.5% Cargoes FOB Med 5,50 572,75 ↑ 572,00 572,75 572,50 572,00 570,00 566,25 1.0% Cargoes FOB NWE 6,75 588,00 ↑ 597,00 598,00 599,25 599,25 596,75 589,00 3% no. 6 USGC WB 0,80 88,95 ↑ 89,65 89,90 90,15 89,90 89,65 89,65 380 CST Cargoes FOB S'pore (0,25) 611,25 ↑ 610,00 601,50 598,00 596,25 594,00 592,00 0.1 % GO Barges FOB Rtdm 3,25 915,75 ↑ 915,25 910,25 906,25 903,25 898,25 892,25 Physical Rotterdam 380 CST 7,00 571,00 ↑ 579,25 580,25 580,25 580,00 578,00 574,25 Physical Singapore 380 CST 1,50 621,25 ↑ 614,25 606,75 603,25 601,50 599,25 597,25

Economy fundamentals this week

Fundamental Indicators Statistic Importance Date Time Period Consensus Last Actual New Home Sales Medium 27-Jan 10:00 AM Dec 440K 464K 414K Durable Orders High 28-Jan 8:30 AM Dec 2.8% 3.4% -4.3% Case-Shiller 20-city Index Medium 28-Jan 9:00 AM Nov 13.8% 13.6% 13.7% Consumer Confidence High 28-Jan 10:00 AM Jan 77.0 78.1 80.7 FOMC Rate Decision High 29-Jan 2:00 PM Jan 0.25% 0.25% - Initial Claims Medium 30-Jan 8:30 AM 25-jan 330K 326K - GDP-Adv. High 30-Jan 8:30 AM Q4 3.5% 4.1% - PCE Prices-Core High 31-Jan 8:30 AM Dec 0.2% 0.1% - Chicago PMI Medium 31-Jan 9:45 AM Jan 57.0 60.8 - Michigan Sentiment- Final Medium 31-Jan 9:55 AM Jan 80.0 80.4 -

Source: OW Risk Management