Image credit: Freight Investor Services (FIS)

---

Commentary

International Brent crude oil futures were at $77.64 per barrel at 0654 GMT, down $13 cents from their last close, and U.S. WTI crude futures were unchanged at $70.25 a barrel. We popped up last night on the Oct Brent futures to above $78.30 at its peak, a truly spectacular reversal of sentiment a few weeks ago. As with anything over the last several months, the ever present risk of trade disputes still hangs in the back of the market's mind, and Venezuela are still making a dog's breakfast out of a 'socialist' state. There are an increasing number of stories being published that are talking about a tightening of the market, pointing to dwindling supplies of stored unsold crude, with cargoes dropping to below 25% of their levels at the start of the year. And on that note, have a great weekend all.

Fuel Oil Market (Aug 30)

The front crack opened at -10.40, weakening to -10.50 across the day. The Cal 19 was valued at -14.95.

Cash premiums of 380 cSt high sulphur fuel oil sagged to a near two-month low amid active trade in physical fuel oil cargoes in the Singapore trading window on Thursday.

A total of 103,000 tonnes of fuel oil were traded in the Singapore window on Thursday, the highest volume since July 30 when a total of 160,000 tonnes was traded.

The 380 cSt fuel oil cash premium also slipped to $4.69 a tonne to Singapore quotes, down from $5.08 per tonne in the previous session and its lowest since July 12.

Singapore's weekly onshore fuel oil inventories jumped 17 percent, or 2.428 million barrels, or about 362,000 tonnes, to 16.661 million barrels, or 2.487 million tonnes, in the week ended Aug. 29.

Economic data/events (Times are London.)

* 6pm: Baker Hughes rig count

* Primorsk diesel loading program for September

* ICE Brent October futures expire

* EIA's Monthly Crude Oil and Natural Gas Production report

* ICE weekly commitments of traders report for Brent, gasoil, ~6:30pm

* CFTC weekly commitments of traders report on various U.S. futures and options contracts, 8:30pm

* Bloomberg tanker-tracking stories on August crude exports from various nations to be published over next several days

Singapore 380 cSt

Sep18 - 445.25 / 447.25

Oct18 - 440.25 / 442.25

Nov18 - 436.25 / 438.25

Dec18 - 432.75 / 434.75

Jan19 - 429.00 / 431.00

Feb19 - 425.50 / 427.50

Q4-18 - 436.50 / 438.50

Q1-19 - 425.50 / 427.50

Q2-19 - 415.75 / 418.25

Q3-19 - 400.75 / 403.25

CAL19 - 403.75 / 406.75

CAL20 - 338.25 / 344.25

Singapore 180 cSt

Sep18 - 452.00 / 454.00

Oct18 - 448.00 / 450.00

Nov18 - 444.75 / 446.75

Dec18 - 441.50 / 443.50

Jan19 - 439.00 / 441.00

Feb19 - 436.00 / 438.00

Q4-18 - 444.75 / 446.75

Q1-19 - 436.00 / 438.00

Q2-19 - 428.25 / 430.75

Q3-19 - 415.75 / 418.25

CAL19 - 418.50 / 421.50

CAL20 - 361.50 / 367.50

Rotterdam 3.5%

Sep18 - 424.75 / 426.75

Oct18 - 419.75 / 421.75

Nov18 - 415.50 / 417.50

Dec18 - 411.75 / 413.75

Jan19 - 409.25 / 411.25

Feb19 - 406.75 / 408.75

Q4-18 - 415.75 / 417.75

Q1-19 - 406.75 / 408.75

Q2-19 - 397.00 / 399.50

Q3-19 - 378.50 / 381.00

CAL19 - 380.50 / 383.50

CAL20 - 321.75 / 327.75