---

Oil prices were mixed in Asian trade this morning following big gains in European and US trade that were fuelled by renewed Russia-Ukraine tensions.

Oil futures took a steadier start on Tuesday morning breaching first short-term resistances until noon. The situation in the east of Ukraine, where pro-Russian groups stormed buildings of the government yesterday, might further escalate. This supports oil markets. Since exports from the Libyan ports Hariga and Zueitina have still not been resumed, oil futures rose. In the afternoon, news remained scant, the more so as there were but few economic indicators on the agenda. Only the IMF reported that it had cut its growth forecast for 2014. This temporarily prompted investors to take some profits. Brent and Gasoil even briefly fell below their first supports. In late trade, there were bullish cues once again, however. After our submission date, the EIA released its monthly energy report which was regarded as clearly bullish sending futures at ICE and NYMEX higher. Whilst WTI breached its resistance at 101.40 USD, Brent exceeded 106.65 USD and Gasoil surpassed 893.25 USD. Those were the key-resistances of the technical triangles. Thus, these triangles were dissolved in the evening. Consequently, there was massive technical buying and oil futures settled with considerable gains.

ICE Gasoil contract for April delivery settled at 890.75 USD on Tuesday. This was +5.25 USD above Monday's settlement. With some 44,100 deals, the traded volume of the front month was below average.

The stochastic indicator and the RSI stay neutral this morning giving no fresh signals. Late yesterday afternoon, the technical triangle was surpassed. This brought a bullish cue that was immediately spent. Brent and Gasoil thus have already approached further resistances. These bars are currently keeping a lid on gains. Since there are no new cues, so far, we assess the technical constellation as neutral this morning.

U.S.

Nymex slightly above average: After yesterday's late rise, oil futures consolidated in a narrow range on a high level in electronic trade this morning as there haven't been any important news yet and the EIA's report has already been priced in. The traded volume at NYMEX is slightly above average for this time of day. Market players are now monitoring the development at stock and forex markets. They will also keep an eye on today's economic indicators, on the OPEC's monthly energy report, on the negotiations between Iran and the West as well as the situation in Libya and in Ukraine.

API: Crude oil +7.1; Distillates +0.3; Gasoline -3.6 million barrels vs previous week, refinery utilisation -2.2%; cushing +0.8.
DOE's: due out tonight.
Forecasts: Crude oil +1.4; Distillates +0.0; Gasoline -1.0 million barrels vs previous week.

Houston (ex-wharf indications 9-4)
380cst $587
180cst $691
MGO $982

New Orleans (ex-wharf indications 9-4)
380cst $618
180cst $698
MGO $981

Singapore (delivered indications 9-4)

WTI is climbing +$0.88. Singapore paper rose aswell with +$3.75 for 180cst and +$5.50 for 380cst for Apr, and for May 180 cst +$4.25 and 380cst $5.25 with MGO contracts being bullish Apr +$0.90 and May +$0.90. The cargo market is bullish with 180 cst +$0.23, 380cst +$2.16 and MGO +$1.12.

The Singapore fuel oil prices rebounded on the back of stronger crude prices rising app. $2.25 during the Asian Platts window yesterday. Bunker demand was said to be slow on higher outright prices. The delivered bunker premiums were seen between $3.5 and $5.5 above cargo prices.

380cst $585
180cst $603
MGO $914

Fujairah (delivered indications 9-4)

380cst $598
180cst $631
MGO $983

ARA (Amsterdam - Rotterdam - Antwerp)

Indications for delivered bunkers:
380cst : $577
(1.0 %) : $632
180cst: $617
MGO 0.1%S: $877