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

After staging an impressive rally last Friday, crude prices drifted steadily lower yesterday during the trading session in Asia on low volumes. However, WTI rebounded during the US session and eventually posted a small gain while Brent retraced some of the gains made last Friday. Brent structure weakened yesterday while similar to flat price, WTI spreads rallied. Comparative dynamics between WTI and Brent are making WTI relatively more attractive,” with inventories at Cushing, Okla., the delivery hub for Nymex contracts, set to continue to draw going forward, while Libyan flows increase once more to weigh in on Brent prices. Later today will be published the API Oil stocks Weekly numbers and we expect the same pattern as the 5 last weeks  IE a solid Draw in Distillates – due to the persisting cold in the US and a built in Crude Oil. This morning front Brent trading up 0.26c at $108.99.Today we will be looking toward tonight’s economic data and Monetary policy testimony from the Federal Reserve Chairwoman Janet Yellen for cues on the next direction for prices.

Fueloil Specifics

Barges fell slightly in the window to 574.5 usd/mt. Trading has started quietly with a good supply of high sulfur and tight availability of low sulfur. In Singapore the market is still trading very mixed on the high sulfur with traders trying to anticipate the arbitrage inflow fro Western Europe. Sing 380 closed at 606.25 usd/mt in the window.

Settlement & Indications (mid values)

Product Yesterday's Values   Forward Indications Product Change Last Dir. Mar Apr May Q214 Q314 Q414 NYMEX WTI Swap (1st month) 0,18 100,06 ↓ 99,42 98,60 97,79 97,77 95,07 92,72 ICE Brent Swap (1st month) (0,94) 108,63 ↓ 108,17 107,79 107,79 107,41 105,92 104,18 ICE Gasoil Swap (1st month) 2,00 921,00 ↓ 917,67 914,75 913,08 913,31 909,19 901,39 3.5% Barges FOB Rtdm (1,50) 575,00 ↓ 576,50 576,75 576,75 576,75 575,75 572,50 3.5% Cargoes FOB Med (2,75) 574,25 ↓ 574,00 574,50 574,75 574,75 573,50 570,00 1.0% Cargoes FOB NWE 28,75 611,50 ↓ 605,50 603,50 602,50 602,75 600,50 594,00 3% no. 6 USGC WB (1,23) 90,19 ↑ 90,00 89,85 90,02 89,78 89,55 87,77 380 CST Cargoes FOB S'pore 3,50 606,75 ↓ 601,00 600,00 599,00 599,25 598,75 597,00 0.1 % GO Barges FOB Rtdm 1,75 920,25 ↓ 919,25 916,25 913,25 913,25 908,25 901,25 Physical Rotterdam 380 CST 3,00 581,25 ↓ 581,75 582,00 582,00 582,00 581,00 577,75 Physical Singapore 380 CST (1,00) 615,75 ↓ 606,25 605,25 604,25 604,50 604,00 602,25

Economy fundamentals this week

Fundamental Indicators Statistic Importance Date Time Period Consensus Last Actual Wholesale Inventories Medium 11-Feb 10:00 AM Dec 0.6% 0.5% - Treasury Budget Medium 12-Feb 2:00 PM Jan NA $2.9B - Initial Claims Medium 13-Feb 8:30 AM 08-feb 335K 331K - Retail Sales High 13-Feb 8:30 AM Jan -0.2% 0.2% - Business Inventories Medium 13-Feb 10:00 AM Dec 0.6% 0.4% - Industrial Production Medium 14-Feb 9:15 AM Jan 0.6% 0.3% - Mich Sentiment High 14-Feb 9:55 AM Jan 79.8% 79.2% -

Source: OW Risk Management