BUNKER INDEX :: Price Index, News and Directory Information for the Marine Fuel Industry



« News Home
:: Monthly Archive

News Topics
:: Air Pollution
:: Agreements & M&A's
:: Alternative Fuels
:: BunkerBlog
:: Cargoes & Storage
:: Company News
:: Efficiency, Costs & Charges
:: Environment
:: Events
:: Financial
:: Fuel Quality & Testing
:: Lubes & Additives
:: Oil Spills
:: People
:: Port News
:: Projects
:: Regulation, Legal
:: Services, Products,Technology
:: Statistics & Research
:: Vessels

Regional Archive
:: Americas
:: Asia/Oceania
:: Europe
:: M.East/Africa


BUNKER INDEX :: Price Index, News and Directory Information for the Marine Fuel Industry
Home » News



Oil and fuel oil hedging market update

By the Oil Desk at Freight Investor Services.



Image credit:


Updated on 13 Mar 2018 12:20 GMT

Commentary

Brent closed last night at $64.95 down $0.54, WTI closed down $0.68 to $61.36. George Orwell once said: "During times of universal deceit, telling the truth becomes a revolutionary act". However, I also feel it befitting of the current state of the oil market. We have been hovering around the $65/bbl mark on Brent for the best part of a month now. Quite why $65 has been chosen, I'm not sure. I can only imagine it's where the funds are comfortable in order to keep the fat cats upstairs happy, but in essence we are trading around a pivot point because the market is waiting to make a move. Let's face it, the fundamentals are probably not where OPEC would ideally want them to be. They won't admit it, but having to have premature talks about winding down cuts before crude prices have recovered enough is a difficult one. On 14 March 2016, Brent was trading at $39.53, in a not- too-dissimilar fundamental situation, and they really don't wont to go back down to those levels with the floating of Aramco around the corner. It will be the monthly IEA report, which is due out on Thursday, that is the big news of the week. We are starting to get some significant bearish pressure, and the market has reacted with some pretty negative days. Always remember OPEC are more than likely to have something up their sleeve to react to this eventuality - mainly because they can't duck their head in the sand forever like a frightened ostrich. We shall see. Good day.

Fuel Oil Market (March 12)

The front crack opened at -10.25, strengthening to -9.85, before weakening to -10.00. The Cal 19 was valued at -14.85.

Cash differentials of Asia's 380 cSt high-sulphur fuel oil slipped on Monday as some suppliers accepted lower premiums for cargoes of the fuel.

The 380 cSt cargoes were sold at a premium of about 7 cents a tonne to Singapore quotes in front-end of the Singapore trading window on Monday, down from the premiums of about 35-60 cents a tonne paid for similar cargoes on Friday in the front and middle of the trading window.

Economic Data and Events

* 8:30pm: API issues weekly U.S. oil inventory report

* Today:

** Oil & Finance conference, Oslo, 1st day of 2

** Bloomberg-compiled refinery snapshot for U.S. and Canada

Singapore 380 cSt

Apr18 - 359.00 / 361.00

May18 - 358.25 / 360.25

Jun18 - 357.25 / 359.25

Jul18 - 355.75 / 357.75

Aug18 - 354.00 / 356.00

Sep18 - 352.25 / 354.25

Q2-18 - 358.00 / 360.00

Q3-18 - 354.00 / 356.00

Q4-18 - 347.50 / 350.00

Q1-19 - 339.00 / 341.50

CAL19 - 310.75 / 314.75

CAL20 - 247.50 / 255.50

Singapore 180 cSt

Apr18 - 366.75 / 368.75

May18 - 365.75 / 367.75

Jun18 - 364.50 / 366.50

Jul18 - 363.00 / 365.00

Aug18 - 361.25 / 363.25

Sep18 - 359.50 / 361.50

Q2-18 - 365.75 / 367.75

Q3-18 - 361.50 / 363.50

Q4-18 - 355.00 / 357.50

Q1-19 - 346.75 / 349.25

CAL19 - 324.00 / 328.00

CAL20 - 259.50 / 267.50

Rotterdam Barges

Apr18 346.00 / 348.00

May18 345.25 / 347.25

Jun18 344.00 / 346.00

Jul18 342.25 / 344.25

Aug18 340.25 / 342.25

Sep18 337.50 / 339.50

Q2-18 345.25 / 347.25

Q3-18 340.25 / 342.25

Q4-18 330.75 / 333.25

Q1-19 323.25 / 325.75

CAL19 289.50 / 293.50

CAL20 234.50 / 242.50



Founded in 2002, Freight Investor Services is a specialist in dry bulk and commodity derivatives, including cargo freight, iron ore, fertilizer and bunker fuel. The company has offices in London, Dubai, Singapore and Shanghai.

For further details about fuel oil swaps or to discuss trading opportunities, please call +44 20 7090 1120, or email info@freightinvestor.com.






Related Links:

Oil and fuel oil hedging market update
Freight Investor Services Ltd.

Latest News:

Verifavia signs up Wallem and Seaborn
The lowdown on bunker spill paperwork required in Singapore
MEPC 73: HFO ban events scheduled
Oil and fuel oil hedging market update
Brent climbs above $80 as supply concerns take centre stage
MEPC 73: IMO must renew commitment to Arctic HFO ban | CAA
IMO launches toolkits to tackle ship and port emissions
Bunker-saving JIT study presented at IMO HQ
Working group to finalize Initial Strategy programme for MEPC 73
Oil and fuel oil hedging market update
Bunker issues pack MEPC 73 agenda
Volatility around $80




Page Links:

Prices
Africa
Asia
Latin America
Middle East
North America
North Europe
South Europe
Index Summary
Price Highlights
Commentaries
Futures
Prices
Antwerp
Busan
Fujairah
Houston
Istanbul
Kaohsiung
Las Palmas
Maracaibo
New Orleans
Piraeus
Rio de Janeiro
Rotterdam
Santos
Singapore
News
Latest News
Blogs
Archive
Americas
Asia
Europe
Middle East
News
Air Pollution
Agreements & M&A's
Alternative Fuels
Cargoes & Storage
Efficiency, Costs & Charges
Environment
Events
Financial
Fuel Quality
Lubes & Additives
Oil Spills
People
Port News
Projects
Regulation/Legal
Services, Products, Technology
Statistics & Research
Vessels
Contact & Terms
Contact Us
Advertise
Terms & Conditions
Privacy Policy
Events
Upcoming Events