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Technical indicators: neutral to bullish

Oil levels are easing slightly this morning, hovering below the 90.00 dollars mark. Traders are eyeing European consumer confidence figures and more US indicators later today.

Oil prices bounced back to above 90.00 dollars a barrel on Wednesday evening as unexpectedly big gains in U.S. private sector jobs spurred optimism the economy was recovering at a faster pace. After breaching the 90.00 dollars resistance line, many buying orders were triggered.

ICE Gasoil January is expected to open +3.50 to +5.00 dollars at about 781.75 dollars/ton after settling at 777.50 dollars (official settlement price)Wednesday night. This was 9.75 dollars above Tuesday's settlement. Volume with some 64,700 deals slightly above average.

U.S.

NYMEX little changed. Oil prices changed little after Yesterday's gains in Asian trading hours and NYMEX electronic trading this morning, WTI crude lingering above 90.00 dollars. No news in the markets. The traded volume is at average.

APIs: crude oil -7.511; distillates +2.162, gasoline +5.612 million barrels vs previous week. Refinery utilization - 0.2%

DOEs: crude oil -4.161; distillates +1.148, gasoline +3.289 million barrels vs previous week. Refinery utilization +0.2%

Forecasts: crude oil -1.4; distillates +0.5; gasoline +0.9 million barrels vs previous week. Refinery utilization: +0.1%

Houston (ex-wharf indications 5/1)

380 cst $503
180 cst $532
MDO $783

Very tight avails for 180 cst

New Orleans (ex wharf indications 5/1)

380 cst $505
180 cst $535
MDO $787

Singapore (correct as of 1430hrs LT - delivered indications)

Crude is bouncing back up with WTI +$1.50. Singapore paper is reflecting it with Jan +$11.15 for 180 cst and +$11.20 for 380 cst, and for Feb 180 cst +$11.90 and 380cst +$11.50 with MGO Jan contracts at +$2.15 and for Jan at +$2.14. The cargo market is starting to react to Yesterday's losses with 180cst -$5.21, 380cst -$4.74 and MGO -$2.34.

The Singapore fuel oil market came off only $4.5 to $5.0 yesterday during the Platts window tracking previous softening crude. The fuel oil crack spreads strengthen supported by strong buying. The delivered bunker premiums hovered at more than $4.0 above cargo prices yesterday on tighter current supplies. This morning both markets are trading slightly up.

High premiums for prompt deliveries.

380 cst $526
180 cst $535
MDO $803

Fujairah (delivered indications 6/1)

380cst: $529
180cst: $560
MGO: $840

Rotterdam (delivered indications)

Yesterday (Only barge trade deals of >2 KT reported) In the MOC 48KT was traded between 495.00-505.75 with Gunvor and Cargill as the main sellers to RWE as the main buyer.

The NWE HSFO markets are still supported by low blending activity and the open Asian arbitrage. The Kazimah III was reported loading Yesterday, and at least one other VLCC is fixed for mid Jan loading. The LSFO markets are in reverse; high stocks and little demand dominate the pricing.

Indications for delivered bunkers:

380cst: $510
(1.0%): $518
180cst: $525
(1.0%): $539 (very low avails)
MGO 0.1%S: $788