Tue 10 Apr 2018, 08:48 GMT

Oil and fuel oil hedging market update


By the Oil Desk at Freight Investor Services.



Fuel Oil Market (April 9)

Crack opened at -10.57 but weakened to -11.30 throughout the day as brent rallied.

Over the past few weeks, the market for lower viscosity fuel oil had been boosted by concerns of tight blendstock supplies as well as ample inventories of high-viscosity fuel oil, trade sources said.

By contrast, firm buying interest for 380 cSt lifted cash premiums of the higher viscosity fuel to its highest since March 14. Four cargo trades were reported in the Singapore trading window, totalling 60,000 tonnes of 380-cst fuel oil and 20,000 tonnes of 180 cSt fuel oil.

Economic Data and Events

* 11am: U.S. NFIB Small Business Optimism, March

* 1:30pm: U.S. PPI Final Demand, March

* 3pm: U.S. Wholesale Trade Sales, Feb.

* 9:30pm: API issues weekly U.S. oil inventory report

* Today, no exact timing;

** Bloomberg-compiled Refinery Snapshot for U.S. and Canada; gives offline capacity projections for crude units and FCCs

** Bloomberg New Energy Finance Future of Energy Summit, final day

** EIA releases monthly Short-Term Energy Outlook, or STEO, incl. summer fuels outlook, ~12pm

** The 16th International Energy Forum in New Delhi opens with welcoming reception. Speakers in following 2 days include Saudi Arabia's Energy Minister Khalid Al-Falih, OPEC Secretary-General Mohammad Barkindo, Iran's Oil Minister Bijan Namdar Zanganeh, IEA Executive Director Fatih Birol, among others, 1st day of 3

* See OIL WEEKLY AGENDA for this week's events

Singapore 380 cSt

May18 - 375.50 / 377.50

Jun18 - 375.00 / 377.00

Jul18 - 373.75 / 375.75

Aug18 - 372.00 / 374.00

Sep18 - 370.25 / 372.25

Oct18 - 368.25 / 370.25

Q3-18 - 372.00 / 374.00

Q4-18 - 364.75 / 366.75

Q1-19 - 356.75 / 359.25

Q2-19 - 350.25 / 353.25

CAL19 - 329.25 / 334.25

CAL20 - 270.00 / 278.00

Singapore 180 cSt

May18 - 388.00 / 390.00

Jun18 - 386.25 / 388.25

Jul18 - 385.00 / 387.00

Aug18 - 383.25 / 385.25

Sep18 - 381.50 / 383.50

Oct18 - 379.50 / 381.50

Q3-18 - 383.25 / 385.25

Q4-18 - 376.50 / 378.50

Q1-19 - 368.50 / 371.00

Q2-19 - 362.25 / 365.25

CAL19 - 343.50 / 348.50

CAL20 - 294.00 / 302.00

Rotterdam Barges

May18 363.75 / 365.75

Jun18 362.75 / 364.75

Jul18 361.00 / 363.00

Aug18 358.75 / 360.75

Sep18 356.00 / 358.00

Oct18 - 352.75 / 354.75

Q3-18 358.50 / 360.50

Q4-18 348.75 / 350.75

Q1-19 341.25 / 343.75

Q2-18 332.25 / 335.25

CAL19 310.75 / 315.75

CAL20 261.25 / 269.25


Rasmus Frimann Nielsen and Lars Zimmermann, Everllence. Everllence's small-bore GenSet orders surpass 2,000 in 2026  

Engine maker reports strong order intake across its small-bore portfolio, citing demand for reliable, fuel-flexible auxiliary power.

MT Tulip bunker tanker. Bunker One renews MT Tulip charter, plans mass flow meter upgrade in Mauritius  

Bunker One is keeping its bunker tanker in Mauritius while adding flow metering technology to improve delivery transparency.

COP31 panel discussion. Fund for Energy Efficiency Technologies becomes first to adopt revised Singapore-Asia Taxonomy  

FEET's adoption coincides with Lloyd's Register's independent review of GCMD's methodology for quantifying fuel savings from wind-assisted propulsion systems.

Arsenio Dominguez, IMO Secretary-General. IMO chief urges states to enforce safety rules in Strait of Hormuz amid rising attacks  

Arsenio Dominguez says more than 130 attacks on commercial vessels have been verified since February, with at least 25 seafarers killed.

OOCL Wisdom ship-to-ship (STS) bunkering operation at Xiamen Port. Xiamen Port launches 'green methanol bunkering' with OOCL Wisdom  

Boxship received 1,005 tonnes of methanol, corresponding to a reduction of more than 1,600 tonnes in carbon emissions, says COSCO Shipping.

Monjasa Tracer vessel. Monjasa expands fleet with five sister tankers in largest-ever acquisition  

Marine fuel supplier acquires five product tankers from Bernhard Schulte, boosting West African operations and global flexibility.

Molgas Energy logo. Molgas completes acquisition of Prima LNG’s Irish business  

Molgas takes over Prima LNG’s Irish customer portfolio, including a Mondelez manufacturing site, as part of its expansion.

Levante LNG vessel. Peninsula marks three years of LNG bunkering with Levante LNG  

Bunker supplier reports zero claims and CO₂e cuts as LNG bunker vessel completes three years of operations.

Sea Leader FZCO logo. Sea Leader begins physical bunker supply operations in eastern India  

Company completes first bunker delivery after registering with India's shipping authority.

Wega and Deneb vessels render. Auramarine to supply methanol fuel systems for German hydrographic research vessels  

Finnish firm signs deal with Gondan Shipbuilders to equip two new vessels for Germany's maritime agency.