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Fuel oil trend

Rotterdam: $ 2 higher.
Singapore: $ 1 higher.
US Gulf: $ 2 lower.

Slight oil price increase (Brent: $108.3)

Continued solid U.S. economic data and technical trading made oil prices increase slightly yesterday.

In Ukraine, government forces have regained territory in the eastern part of the country from the separatists – western countries and Russia are discussing how to pursue a peaceful solution to the conflict. This weekend, the EU is likely to implement further sanctions against a number of persons – including Russians.

Libya's oil output has increased to 350,000 bpd after restarting the large El Sharara oil field. In its latest oil market report, published yesterday, OPEC estimates 2014 world economic growth to 3.1% from 3.4% previous; keeping the 2015 forecast at 3.4%. It expects Non-OPEC supply to increase in 2014 and 2015 mainly due to the U.S. shale oil production. Fewer than expected people in the U.S. filed for unemployment – from 315K last reading to 304K. No big day on economic data – only potential market mover will be the publishing of the U.S. Federal Budget Balance this afternoon. Also, the financial markets worry about the financial woes of Portugal’s largest bank.