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Technical indicators: bullish

Crude Oil breached all its resistance lines this morning to peak at 103.41 dollars in New York. The strong gasoil resistance at 975.00 and for Brent at 120.00 dollars have stopped the rally for the time being, with technical selling orders cooling the markets in the afternoon.

Oil prices traded in a narrow lateral range Yesterday morning, well within support and resistance lines. Only after the opening of NYMEX session in New York did prices find support, breaching resistance lines and triggering more and more buying orders. The political situation in Libya is still the main driver for oil prices and not before Muammar Qaddafi steps down will the risk premium decrease.

ICE Gasoil contract for March delivery settled at 910.50 dollars Wednesday night. This was 20.75 dollars above Tuesday's settlement. Volume with some 80,800 deals above average.

The tensions in the Arab world still support oil prices, while disappointing US economy data weigh. The Brent's first support line at 102.35 dollars will be watched closely today. Should the line be breached, technical selling orders will be triggered. Yet most analysts opt for a technical upward correction after yesterday's hefty losses.

U.S.

Nymex Acces gaining: Oil futures prices hit a fresh 2-1/2-year peak in Asian trading hours and electronic Globex trade this morning, on lingering concerns that the bloody unrest in Libya could spread to other major oil producers, including top exporter Saudi Arabia, and cut more output. The traded volume is above average.

APIs: crude oil +0.163; distillates -0.534; gasoline -1.621 million barrels vs previous week. Refinery utilization -2.5%

DOEs: due out tonight

Forecasts: crude oil +1.100; distillates -1.300; gasoline +0.850 million barrels vs previous week. Refinery utilization +0.5%

Houston (ex-wharf indications 23/2)

380 cst $597
180 cst $621
MDO $914

Very tight avails for 180 cst

New Orleans (ex wharf indications 23/2)

380 cst $599
180 cst $623
MDO $917

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

Crude is surging with WTI +$6.31 Singapore paper is reacting strongly with +$40.00 for 180 cst and +$42.30 for 380 cst for March, and for Apr 180 cst +$40.20 and 380cst +$42.20 with MGO March contracts at +$7.93 and for Apr at +$8.15 The cargo market is less tumultuous with 180cst +$0.12 380cst +$0.99 and MGO -$0.27.

The Singapore fuel oil markets were up marginally to $1.00 during the Platts window yesterday. Bunker demands have been dampened by the high outright prices recently as buyers prefer to wait for prices to soften. The bunker delivered premiums slipped to a range of $14.0 to $16.0 above cargo price yesterday. Bunker fuel swaps followed general trend in the market and gained more than $13.00/mt in the front of the curve both in Rotterdam and Singapore while backend remained a bit weaker. The East-West spread remains wide with March assessed at $43.00. Both markets are trading higher today.

High premiums for prompt deliveries.

380 cst $673
180 cst $685
MDO $963

Fujairah (delivered indications 23-2)

380cst: $627
180cst: $668
MGO: $960

Rotterdam

Indications for delivered bunkers:

380cst: $628
(1.0%): $643
180cst: $647
(1.0%): $663 (very low avails)
MGO 0.1%S: $933