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By the Oil Desk at Freight Investor Services Ltd.

Brent closed up $1.60 last night to $50.20 and WTI closed at $47.89 up $1.55. This oil market is like marriage - for one glorious, beautiful, amazing moment you think you've got it sussed and under control, then bam, you forget to put the rubbish out and Brent spikes $1.60. Like your Grandad trying to get out of his favourite chair, the market took a while to get going yesterday but when it did it was off like a racing snake. Saudi are going to cut exports, US stocks will apparently show a 10m bbl draw on crude later and Nigeria will cap production as well. Bliss if you are in anyway bovine. But hold your hats there cowboy - apparently US refinery runs are up, which means products will show negligible draws, which basically means all the crude being drawn isn't really going anywhere. The fact the Saudi's are limiting exports is good, but it's everyone following suit that really matters. Nigeria aren't at 1.8mn bpd yet, so that will take a while. Don't get me wrong, the market does seem to have a new wave of confidence, but whether this is because people are feeling excited about edging closer to their Summer holidays in the Costa Lotofmoney or they just think the future is bright, we shall see over the coming weeks. However, yesterday we did witness something of a shift in the front crude complex: for the last three months, the front 3 Brent spreads have been stuck in a range of -80 /-75 and yesterday we witnessed that push up to -60/-55. Quite a shift in what has been a relatively dull market recently. Let's see if this continues to strengthen and yields anything further. Stats later.

Economic Data/Events: (UK times)

* 9am: Italy

** Manufacturing confidence for July, est. 107 (prior 107.3)

** Consumer confidence index for July, est. 106.3 (prior 106.4)

* 9:30am: U.K. GDP q/q for 2Q, advance, est. 0.3% (prior 0.2%)

* 12pm: U.S. MBA mortgage applications for July 21 (prior 6.3%)

* 3pm: U.S. new home sales for June, est. 615k (prior 610k)

* 3:30pm: EIA weekly oil inventory report; TOPLive blog begins 3:20pm

* Wednesday, no exact timing:

** Genscape weekly ARA crude stockpiles report

** Final Angolan program for Sept.

** EIA releases Petroleum Supply Monthly

Singapore 380 cSt

Aug17 - 301.00 / 303.00

Sep17 - 301.00 / 303.00

Oct17 - 300.75 / 302.75

Nov17 - 300.25 / 302.25

Dec17 - 300.00 / 302.00

Jan18 - 299.50 / 301.50

Q4-17 - 300.25 / 302.25

Q1-18 - 299.25 / 301.25

Q2-18 - 299.50 / 302.00

Q3-18 - 300.00 / 303.00

CAL18 - 298.00 / 301.50

CAL19 - 294.50 / 300.00

CAL20 - 277.50 / 285.50

Singapore 180 cSt

Aug17 - 307.00 / 309.00

Sep17 - 307.00 / 309.00

Oct17 - 307.25 / 309.25

Nov17 - 306.75 / 308.75

Dec17 - 306.50 / 308.50

Jan18 - 306.00 / 308.00

Q4-17 - 306.75 / 308.75

Q1-18 - 306.25 / 308.25

Q2-18 - 306.75 / 309.25

Q3-18 - 308.00 / 311.00

CAL18 - 305.50 / 309.00

CAL19 - 303.50 / 309.00

CAL20 - 286.50 / 294.50

Rotterdam 380 cSt

Aug17 290.50 / 292.50

Sep17 288.50 / 290.50

Oct17 286.25 / 288.25

Nov17 284.25 / 286.25

Dec17 282.25 / 284.25

Jan18 283.75 / 285.75

Q4-17 284.25 / 286.25

Q1-18 284.50 / 286.50

Q2-18 286.00 / 288.50

Q3-18 286.50 / 289.50

CAL18 283.50 / 287.00

CAL19 277.00 / 282.50

CAL20 257.75 / 265.75

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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.