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Crude oil prices rose in Asia this morning ahead of a shortened week through much of the region with Japan due to observe a holiday on Tuesday while most other parts of Asia will be closed on Thursday for Labour Day.

Oil futures at ICE already lost some ground on Friday morning breaching first supports after having risen on Thursday. Since the Ukrainian army had suspended its anti-terror operation in order to prevent a military intervention by Russia and as the USA hadn't impose any new sanctions against Russia until that point in time, futures were weighed down by the bearish influence of the DOE's data on US oil inventories released on Wednesday. Particularly WTI lost considerable ground hitting a 2-week-low. The US crude oil sort is less bolstered by the bullish cues stemming from Ukraine and from the uncertainty regarding Libya's output. That is why WTI-futures saw considerable profit taking when it became clear that US crude oil stockpiles had reached record highs. Futures at ICE didn't retreat this quickly. The still very unstable situation in Ukraine eventually prevented a sharper downward move at ICE as market players renewedly avoided speculative short positions in order to prevent being caught on the wrong foot in case the situation had escalated over the weekend. Quotations at NYMEX as well as at ICE finally marked some losses on Friday, with the spread between Brent and WTI temporarily widening to more than 9 USD.

ICE Gasoil contract for May delivery settled at 919.75 USD on Friday. This was -6.75 USD below Thursday's settlement. With some 40,900 deals, the traded volume was below average.

The lines of the stochastic indicator crossed at the Brent and the Gasoil chart this morning giving a buying signal whereas the RSI is neutral. WTI latetly diverged from the contracts at ICE. Both technical indicators currently are neutral at the chart of the US crude oil sort. However, the RSI could confirm the bullish constellation if it surpasses the 30%-marker. The stochastic indicator would give a buying signal if the black line exceeds the red line. Given the current constellation, from a merely technical point of view we assess the situation as neutral to bullish this morning.

U.S.

Nymex above avarage: Oil prices pulled back from Friday's lows in electronic trade this morning regaining some ground. Since there are no decisive new cues so far, there haven't been any larger moves yet, though. The traded volume at NYMEX is clearly above average at this time of day. Traders are monitoring the development at stock and forex markets. They will also keep an eye on today's economic indicators as well as at the developments in Ukraine and Libya.

Houston (ex-wharf indications 26-4)
380cst $613
180cst $671
MGO $995

New Orleans (ex-wharf indications 26-4)
380cst $621
180cst $666
MGO $994

Singapore (delivered indications 28-4)

WTI is up with +$0.19. Singapore paper is down with -$0.25 for 180cst and +$0.25 for 380cst for May, and for Jun 180 cst -$0.25 and 380cst +$0.25 with MGO contracts being bearish May -$0.25 and Jun -$0.17. The cargo market rose with 180 cst +$0.60, 380cst +$2.19 and MGO slightly down with +$0.61.

The Singapore fuel oil prices rose after several sessions of loss and were assessed app. $2.5/mt up during the Platts window last Friday. Market fundaments remain unchanged with soft demand amidst ample supply.

380cst $595
180cst $610
MGO $940

Fujairah (delivered indications 28-4)

380cst $605
180cst $643
MGO $984

ARA (Amsterdam - Rotterdam - Antwerp)

Indications for delivered bunkers:
380cst : $585
(1.0 %) : $636
180cst: $625
MGO 0.1%S: $891