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Brent oil slipped below $111 per barrel on Thursday, weighed by a bigger-than-expected rise in U.S. crude stockpiles, but Libyan supply disruption kept prices supported. Brent crude fell 38 cents to $110.93 a barrel by 0944 GMT It is still up 2 percent in November, and over $8 above its low for the month. U.S. oil fell 12 cents to $92.18, hovering near the lowest in almost six months. It touched a low of $91.77 on Wednesday, its weakest since June 3.

This was 3.50 USD below Tuesday's settlement. With some 33,500 deals, the traded volume was below average. It was already obvious on Wednesday morning that oil markets would renewedly be dominated by bets on the Brent-WTI-spread. Investors sent ICE futures higher by raising their long position in product and Brent futures. At the same time, they increased their short positions in WTI speculating on a renewed rise in US crude oil stockpiles. The price discount between Brent and WTI widened to more than 18 dollars by noon. Then, some traders already took some profits from their spread bets even before the release of the DOE's data. Brent and Gasoil thus pulled back from their highs testing their supports. The release of the DOE's report on US oil stocks at 4.30 p.m. made volatility at oil markets significantly rise. The data brought no clear cues containing bearish as well as bullish components. Eventually, the bullish factors prevailed at ICE whereas WTI failed to make up for its gains. Late in the evening (after submission deadline), the EIA released its monthly US oil demand statistics for September. The data renewedly prompted speculators to increase their spreadbets making the spread between Brent and WTI widen to more than 19 dollars.

From the technical perspective, there are no new cues this morning as both the stochastic indicator and the RSI are still neutral at ICE charts not giving any new signals. As long as the RSI stays above 70% and the lines of the stochastic indicator don't cross, there will be no selling signals. Yesterday's late rise at ICE and the wide Brent-WTI-spread, which has climbed above 19 USD, might prompt investors to take some profits with ICE futures but, in all, we currently assess the technical constellation as neutral.

U.S.

Nymex neutral: Since there are no new cues and US traders celebrate Thanksgiving today, oil futures consolidated near yesterday's settlement levels in electronic trading this morning. The traded NYMEX volume is below average for this time of day. Market participants are now eying the development at European markets, waiting for new signals from forex trading and today's economic indicators out of Europe.

Survey: crude oil -0,3; distillates -1,0; gasoline +1,0 vs million barrels previous week.
API: crude oil +6,9; distillates -1,7; gasoline +0,2 vs million barrels previous week.
DOE: crude oil +3,0; distillates -1,7; gasoline +1,8 vs million barrels previous week.

Houston (ex-wharf indications 21-11)
380cst $590
180cst $658
MGO $979

New Orleans (ex-wharf indications 21-11)
380cst $592
180cst $644
MGO $982

Singapore

Crude is loosing with WTI -1.14. Singapore paper is bullish with +$1.25 for 180cst and +$2.00 for 380cst for Dec, and for Jan 180 cst +$2.00 and 380cst +$2.50 with MGO contracts Dec +$0.45 and Jan +$0.43. The cargo market is also bullish with 180 cst +$4.27 380cst +$4.30 and MGO +$0.38.

380cst $606
180cst $611
MGO $945

Fujairah (delivered indications 28-11)

380cst $624
180cst $670
MGO $1025

ARA (Amsterdam - Rotterdam - Antwerp)

A lot of operational problems in both Rotterdam and Antwerp. Many suppliers only possible to offer from 06/12 onwards.

Indications for delivered bunkers:
380cst : $587
(1.0 %) :$630
180cst: $617
(1.0 %):$ 665
MGO 0.1%S: $ 905