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Oil prices eased in Asian trade today on expectations of another increase in US crude stockpiles which would suggest weak demand in the world’s biggest economy.

Oil prices rose at ICE and NYMEX on Tuesday in a technical reaction to Monday's hefty losses. Market participants paid close attention to the situation in Ukraine to see whether Russia really withdraws its troops from the Ukrainian border. But until the evening there was no confirmation from the Nato observers on a troop withdrawal. On the contrary, internal tensions rose when the separatists in the East of the Ukraine extended their sphere of influence. Elsewhere, stability in Libya regressed with armed protesters storming the Libyan parliament building. Oil shipments in the recently liberated port of Zueitina will go ahead, but concerns over further disruptions endure after the incident. Due to a lack of decisive fundamental news technical gains were limited but markets stayed volatile while traders refrained from accumulating short positions on Ukrainian tensions. Only WTI was weighed down in late trading, dropping below yesterday's low on a bearish API oil inventory report.

ICE Gasoil contract for May delivery settled at 920.25 USD on Tuesday. This was 6.25 USD above Monday's settlement. With some 43,300 deals, the traded volume was below average.

Neither the stochastic nor the RSI are giving any clear signals this morning and are thus seen neutral at ICE and NYMEX. The RSI generated a buying signal at the WTI chart which has meanwhile been absorbed and the indicator ha the 30% trigger line. Should the two lines of the indicator cross at the charts a fresh buying signal could be triggered while technical analysts do not see any bearish potential today. As long as the indicators are not giving any fresh signals the technical constellation is considered as neutral. Anyway the market should rather pay close attention to the geopolitical situation today.

U.S.

Nymex on avarage: Oil markets are trading lower in Globex electronic trading hours this morning, weighed down by the bearish API report. The traded volume at NYMEX is about on average at this time of day. Traders are monitoring stock and forex markets, the developments in Ukraine and Libya as well as today's economic indicators and the DoE's report on oil inventories.

API: Crude oil +3.0; Distillates +0.7; Gasoline -1.0 million barrels vs previous week.
DOE: Due out tonight.
Forecasts: Crude oil +1.1; Distillates +0.5; Gasoline ±0.0 million barrels vs previous week.

Houston (ex-wharf indications 30-4)
380cst $601
180cst $685
MGO $991

New Orleans (ex-wharf indications 30-4)
380cst $617
180cst $665
MGO $989

Singapore (delivered indications 30-4)

WTI is down with -$0.94. Singapore paper is down with -$0.50 for 180cst and -$0.60 for 380cst for May, and for Jun 180 cst -$0.35 and 380cst -$0.75 with MGO contracts being bearish May -$0.20 and Jun -$0.19. The cargo market dropped with 180 cst -$0.35, 380cst -$0.75 and MGO slightly down with -$0.19.

The Singapore fuel oil prices fell -$5.0 during the Platts window yesterday tracking the fall in the crude values. The delivered bunker premiums were estimated at $3.75 above cargo prices. The Singapore market will be closed tomorrow on public holiday and will reopen on Friday.

380cst $592
180cst $608
MGO $930

Fujairah (delivered indications 30-4)

380cst $600
180cst $640
MGO $982

ARA (Amsterdam - Rotterdam - Antwerp)

Indications for delivered bunkers:
380cst : $577
(1.0 %) : $630
180cst: $617
MGO 0.1%S: $875