---

By the Oil Desk at Freight Investor Services Ltd.

Brent closed up 0.68 last Friday to $56.82 and WTI closed at $53.72 down 0.05. Well, crude is near that magical $60 per bbl number. So I think we will look to correct if it does hit $60. But why? You may ask. Well, Russia produced record numbers again last month, Libya are close to producing 500k bpd and the US rig count rose to its highest level in a year. However, until there is some evidence that the OPEC/ non-OPEC cut is actually being implemented, the market will continue to rise on the back of that agreement - but there will come a point where the price level is too high.

Economic data/events (Times are London)

* 8:55am: Germany Dec. unemployment change (000's), est. -5k

(prior -5k); Germany Dec. unemployment claims rate SA, est. 6% (prior 6%)

* 9:30pm: U.K. Dec. Markit PMI manufacturing SA, est. 53.3 (prior 53.4)

* Noon: ICE weekly commitments of traders report for Brent, gasoil; release delayed from Monday because of holiday

* 1pm: Germany CPI y/y for Dec. P, est. 1.4% (prior 0.8%); Germany CPI m/m for Dec. P, est. 0.6% (prior 0.1%); Germany

CPI EU harmonized m/m for Dec. P, est. 0.6% (prior 0%); Germany CPI EU harmonized y/y for Dec. P, est. 1.3% (prior 0.7%)

* 2:45pm: U.S. Dec. Markit manufacturing PMI, Final, est. 54.2 (prior 54.2)

* 3pm: U.S. Dec. ISM manufacturing, est. 53.7 (prior 53.2); U.S. Dec. ISM prices paid, est. 55.5 (prior 54.5); U.S. Nov. construction spending m/m, est. 0.5% (prior 0.5%)

* Today:

* Brent, Ekofisk loading programs for February

* Bloomberg forecast of U.S. waterborne LPG exports

* Bloomberg proprietary forecast of Cushing inventory change

* Bloomberg to publish survey of monthly OPEC crude production for December either on Tuesday or Wednesday

Singapore 380 cSt

Feb17 - 326.50 / 328.50

Mar17 - 325.00 / 327.00

Apr17 - 323.00 / 325.00

May17 - 321.25 / 323.25

Jun17 - 319.75 / 321.75

Jul17 - 318.25 / 320.25

Q2-17 - 321.25 / 323.25

Q3-17 - 318.00 / 320.00

Q4-17 - 313.75 / 316.25

Q1-18 - 310.00 / 312.50

CAL18 - 310.00 / 313.50

CAL19 - 289.75 / 294.75

Singapore 180 cSt

Feb17 - 332.50 / 334.50

Mar17 - 330.50 / 332.50

Apr17 - 329.50 / 331.50

May17 - 328.00 / 330.00

Jun17 - 326.50 / 328.50

Jul17 - 325.00 / 327.00

Q2-17 - 328.00 / 330.00

Q3-17 - 324.50 / 326.50

Q4-17 - 320.50 / 323.00

Q1-18 - 316.75 / 319.25

CAL18 - 317.75 / 321.25

CAL19 - 298.50 / 303.50

Rotterdam 3.5%

Feb17 306.75 / 308.75

Mar17 306.75 / 308.75

Apr17 306.25 / 308.25

May17 305.50 / 307.50

Jun17 304.75 / 306.75

Jul17 304.00 / 306.00

Q2-17 305.50 / 307.50

Q3-17 302.00 / 304.00

Q4-17 297.75 / 300.25

Q1-18 291.75 / 294.25

CAL18 293.75 / 297.25

CAL19 273.50 / 278.50

---

Founded in 2002, Freight Investor Services is a specialist in dry bulk and commodity derivatives, including cargo freight, iron ore, fertilizer and bunker fuel. The company has offices in London, Dubai, Singapore and Shanghai.

For further details about fuel oil swaps or to discuss trading opportunities, please contact Andrew Cullen, Client Relations & Development Manager, on +44 207 090 1126, or email AndrewC@freightinvestor.com.