---

Technical indicators: bullish

Middle East tensions continue to place upside pressure on oil. As for today, traders are advised to follow all the developments from Libya and other Middel East countries as this conflict there is now the main catalyst in crude trading. In case that the conflict will escalate, oil prices might climb even further.

Oil prices ended higher for a second day in row as unrest in Yemen threatened to crimp energy exports from the Gulf region and the U.S. dollar slumped to a 15-month low on recovering risk appetite among investors. French oil giant Total warned buyers of liquefied natural gas from its Yemen LNG project that shipments from the country could face cuts due to escalating political unrest, although they remain normal for now. Thousands of Yemeni protesters took to the streets on Tuesday, clamoring for President Ali Abdullah Saleh to step down. Several top officials have already abandoned Saleh, who warned that his country would descend into civil war if he were forced to quit. Yemen pumps around 290,000 bpd of oil, largely for export, and ships 0.9 billion cubic feet per day of LNG, about 9 percent as much as top LNG exporter Qatar.

ICE Gasoil contract for April delivery settled at 987.50 dollars Tuesday night. This was 9.25 dollars above Monday's settlement. Volume with some 62,200 deals on average.

The Stochastic for Brent, Gasoil and WTI remain bullish for today, while the RSI is not giving a clear signal to the market. Oil prices are expected to rise and resistance lines will be tested, should those be breached, many buying orders will be triggered. The first support for the WTI crude is seen at 101.00 dollars, the first resistance at 103.65 dollars. The Brent's first resistance is seen at 117.30 dollars, the first support is at 113.25 dollars.

U.S.

Nymex Access losing. Oil prices are declining slightly this morning technically due to profit taking, traders are waiting for the release of the DOE data this afternoon, the development in the Middle East and Japan. Traded volume is on average.

APIs: crude oil +0.970; distillates -0.612; gasoline -7.883 million barrels vs previous week. Refinery utilization +0.3%

DOEs: due out tonight

Forecasts: crude oil +2.000; distillates -1.400; gasoline -1.900 million barrels vs previous week. Refinery utilization -0.2%

Houston (ex-wharf indications 22-3)

380 cst $613
180 cst $633
MDO $984

Very tight avails for 180 cst

New Orleans (ex wharf indications 22-3)

380 cst $616
180 cst $636
MDO $987

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

Crude is jumping up with WTI +$2.29 Singapore paper is reacting to crude with +$8.00 for 180 cst and +$7.00 for 380 cst for Apr, and for May 180 cst +$8.70 and 380cst +$7.65 with MGO Apr contracts at +$1.39 and for May at +$ 1.31 The cargo market is still bearish with 180cst -$10.43, 380cst -$10.07 and MGO -$1.75

The Singapore fuel oil markets softened more than $2.00/mt tracking the softer crude values during the Platts window. The April incoming cargoes estimates are revised downwards to 3.1-3.2 million mt. The bunker delivered premiums remained at around $10.00 above cargo price yesterday. This morning both markets are trading slightly higher.

High premiums for prompt deliveries.

380 cst $643
180 cst $658
MDO $1000

Fujairah (delivered indications 22-3)

380cst: $632
180cst: $663
MGO: $980

Rotterdam

Indications for delivered bunkers:

380cst: $606
(1.0%): $676
180cst: $634
(1.0%): $658 (very low avails)
MGO 0.1%S: $998