Asia’s 10-ppm sulphur gasoil margins slipped slightly, reflecting the strength in crude futures and limited fluctuations in the swaps market amid continuously muted trading activity.

Refining margins fell to almost $22.50 a barrel, but spot cash differentials GO10-SIN-DIF remained nearly steady at a discount of 40 cents a barrel.

Term supply negotiations remained underway in northeast Asia at premiums between 50 cents and 80 cents a barrel, two trade sources said.

Spot activity was minimal in the open trading market, contributing to limited fluctuations as well.

Jet fuel refining margins slipped on the last trading day of the week at a slightly faster pace, narrowing the regrade JETREG10SGMc1 spread to a premium of 50 cents a barrel.

The spread was too wide the past few days and some sellers likely emerged due to that, one refinery source said.

SINGAPORE CASH DEALS O/AS

– No deals for both fuels

INVENTORIES

– Distillate stockpiles USOILD=ECI in the U.S., which include diesel and heating oil, rose by 5.2 million barrels in the week to 110.8 million barrels, versus forecasts for a 394,000-barrel drop.

– Singapore’s middle distillates inventories fell almost 14% week on week as the surge in jet fuel/kerosene net exports for a second straight week offset lower net exports of gasoil, official data showed on Thursday. O/SING1

NEWS

– China’s manufacturing activity contracted for a second straight month in November and at a quicker pace, an official factory survey showed on Thursday, suggesting more government policy support measures are needed to help shore up economic growth.

– Russia’s ministry of transport said on Thursday that restrictions on navigation at key Black Sea ports remain in place due to adverse weather.

– Oil prices were little changed on Thursday as investors eagerly awaited the outcome of an anticipated OPEC+ meeting that could lead to deeper supply cuts in 2024. O/R
Source: Reuters (Reporting by Trixie Yap; Editing by Krishna Chandra Eluri)