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Crude oil prices eased in early Asian trade Monday, but remained supported by events in the Ukraine where tension over moves by neighboring Russia, the world's top oil producer, in the Crimean region have heightened concerns over supply.

Oil futures at ICE and NYMEX showed a softer tendency on Friday morning breaching first supports around noon. The steadier euro that was able to extend Thursday's gains limited the decline however. Given the possibility of an escalation in the Ukraine, market players avoided larger short positions in order to not be caught on the wrong foot in such a case. In late-afternoon trade, oil futures increasingly regained ground as traders covered their short positions and raised strategic long positions. In the afternoon, Gazprom threatened to suspend gas deliveries to Ukraine stoking renewed fears of supply disruptions. Oil futures were also slightly bolstered by better than expected jobs data out of the USA. Eventually, oil prices still showed a steady tendency on Friday and so futures settled near their intraday-highs. Data on China's trade balance came in weaker than expected as exports significantly dropped. At the beginning of trade oil futures thus retreated.

ICE Gasoil contract for March delivery settled at 914.50 USD on Friday. This was +9.75 USD above Thursday's settlement. With some 30,200 deals, the traded volume was below average.

The lines of the stochastic indicator at the ICE and NYMEX charts have crossed and so, formally, the indicator is bullish. The RSI is in neutral territory not giving any cues. However, quotations at ICE are still moving within their downtrends. They have re-entered these downtrends after having tried to exceed them last week. Consequently, the upper limits of these downtrends are capping the upward potential. A sharp rise seems to be impossible as long as quotations at ICE remain within these trends. Given the buying signal of the stochastic indicator, we have to assess the merely technical constellation as neutral to bullish, however.

U.S.

Nymex bearish: Oil futures dropped this morning as investors cut some of the long positions they had raised on Friday evening. Moreover, futures were weighed down by disappointing data out of China (trade balance). The traded volume at NYMEX is on average for this time of day. Traders are now monitoring the development at stock and forex markets waiting for today's economic data and the development of the situation in the Ukraine.

Houston (ex-wharf indications 10-3)
380cst $699
180cst $676
MGO $1000

New Orleans (ex-wharf indications 10-3)
380cst $653
180cst $676
MGO $108

Singapore (delivered indications 10-3)

WTI is bearish with -$0.35. Singapore paper is bearish with +$0.00 for 180cst and -$0.25 for 380cst for Mar, and for Apr 180 cst -0.$25 and 380cst +$0.00 with MGO contracts being bullish Mar +$0.05 and Apr +$0.15. The cargo market is bullish with 180 cst +$2.29, 380cst +$2.06 and MGO -$0.14.

The Singapore fuel oil market rose app.$2.0 during the Asian Platts window last Friday. Suppliers reported mixed demand and sufficient product avails. The delivered bunker premiums were ranging between +$3.5 to $4.5 above cargo prices. This morning both markets are trading slightly lower.

380cst $602
180cst $613
MGO $925

Fujairah (delivered indications 10-3)

380cst0 $608
180cst $638
MGO $982

ARA (Amsterdam - Rotterdam - Antwerp)

A lot of 380 LSFO avails problems in whole of ARA. Most of the suppliers are only able to offer from 9th onwards.
Indications for delivered bunkers:
380cst : $578
(1.0 %) : $650
180cst: $608
MGO 0.1%S: $863