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Crude oil prices fell in Asia on Tuesday on uncertain demand prospects from heavyweight importer China, but remained supported by concerns of fresh economic sanctions slapped on Russia, the world's top oil producer, by the West for annexing Crimea.

After investors hedged their risks ahead of the weekend, futures at ICE and NYMEX initially showed a slightly softer tendency early Monday morning testing their supports. The key-supports at 892.00 USD Gasoil and at 106.45 USD Brent that make up the upper limits of the current downtrends remained strong, however and so the contracts at ICE didn't re-enter their downtrends. Thus, the downward potential remained limited even though the weaker than expected purchasing manager index out of China raised some doubts about oil demand slightly putting oil futures under pressure. However, the closure of the Houston Shipping Channel supported prices generating a steadier tendency at ICE and NYMEX in the course of the afternoon. Quotations only lost ground again in late-evening trading. Market participants cut their long positions as they still regard supplies as sufficient. Moreover, they expect the data on US oil inventories to renewedly show builds in crude oil stocks which might weigh on prices. Eventually, oil futures settled hardly changed compared to Friday, with ICE futures consolidating above their downtrends.

ICE Gasoil contract for April delivery settled at 895.25 USD on Monday. This was -5.25 USD below Friday's settlement. With some 30,600 deals, the traded volume of the front month was on average.

The lines of the stochastic indicator are converging again at ICE charts and so, as expected yesterday, the bullish impact of the indicator should be spent by now. At the WTI chart the lines of the indicator have converged, too. Yesterday's selling signal has thus lost its impact. From a merely technical perspective, the crucial point will be whether the stochastic indicator gives a selling signal in the course of the day, resp. whether Brent and Gasoil will try once more to re-enter their downtrends. Along with yesterday's lows, the 890.00 USD marker at the Gasoil chart and the 106.25 USD-marker at the Brent chart have thus become key-supports. As long as these supports remain strong, the technical situation is likely to show a consolidation of ICE futures above their downtrends. That is why we still judge the technical constellation as neutral.

U.S.

Nymex cooling: Futures at ICE renewedly approached yesterday's lows last night but failed to break below these levels. So far, they have thus consolidated slightly above these levels. The traded volume at NYMEX is below average for this time of day. Traders are now monitoring the development at stock and forex markets looking ahead to today's economic data and keeping an eye on the development of the situation in the Ukraine.

Houston (ex-wharf indications 25-3)
380cst $592
180cst $669
MGO $992

New Orleans (ex-wharf indications 25-3)
380cst $630
180cst $678
MGO $991

Singapore (delivered indications 25-3)

WTI is bullish with +$0.31. Singapore paper is bullish with +$0.10 for 180cst and -$0.75 for 380cst for Apr, and for May 180 cst -$0.25 and 380cst -$0.75 with MGO contracts being bullish Apr +$0.47 and May +$0.41. The cargo market is bearish with 180 cst -$2.29, 380cst -$1.46 and MGO +$0.01.

The Singapore fuel oil prices fell on the start of the week by more than -$1.5 during the Asian Platts window. The delivered bunker premiums softened to between +$3.0 to $4.5 above cargo prices.

380cst $602
180cst $615
MGO $917

Fujairah (delivered indications 25-3)

380cst $609
180cst $640
MGO $985

ARA (Amsterdam - Rotterdam - Antwerp)

Indications for delivered bunkers:
380cst : $578
(1.0 %) : $645
180cst: $618
MGO 0.1%S: $862