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Oil futures have edged down this morning. The ICE G.Oil has briefly tested its first support, whereas the Brent and the WTI crudes have not touched there supports yet. As expected, investors have seized Monday's price surge to take some profit. There are no other decisive news as of now. The traded volume is very low, as market participants remain cautious ahead of important US economic data that are to be published this afternoon. Today US factory orders in February will stir investors' interest. After the increase in durable goods orders factory orders are likely to have climbed as well.

Monday morning started bearish, keeping track of forex trading. The dollar was strong at that time and the euro was losing ground after some unconvincing economic data. Oil futures fell through first supports, whereas key supports at 1,005.50 dollars for the G.Oil and at 102.10 dollars for the WTI proved strong, leading to a brief technical correction up. After the opening of NYMEX floor trade and given the better-than-expected ISM manufacturing index, published at 4 p.m., quotations sharply climbed, breaching several resistance lines. This reinforced the upward movement technically. Oil futures were also bolstered by equities gaining after the publication of the ISM's index. The Dow Jones settled at 13,264.49 points, which was the highes settlement since December 2007.

ICE Gasoil contract for April delivery settled at at 1,024.50 dollars on Monday. This was 10.25 dollars above Friday's settlement. With some 47,800 contracts the traded volume was slightly below average.

The RSI has crossed the 30%-line by now and the stochastic indicator is also considered bullish this morning. From the merely technical stance, both indicators therefore forward more upward movement, whereas technical analysts avoid giving a clear tendency this morning. The high volatility leads to a certain amount of insecurity regarding yesterday's price rally. Speculators may seize these gains for some profit taking in the morning, whereas there is still some upward potential, particularly for WTI crude, which might rise to its mid-term resistances.

U.S.

Nymex acces easing. Oil futures are modestly lower in Europe and on Globex electronic trading platform this morning. Without any decisive impulsions, oil futures consolidate on a high level, whereas they slightly pull back from yesterday's highs. Oil futures have also traded slightly lower in Asian trade but there are no decisive changes. The traded volume is clearly below average. Market players look ahead to new impulsions provided by forex trade and by European and US economic indicators today, especially the EU GDP and US factory orders.

Survey of US Petroleum inventories due out tonight at 22:30(API) and Thursday at 17:00(DOE)
Crude oil +1.7; distillates -0.4; gasoline -1.5 million barrels vs previous week

Houston (ex-wharf indications 2-4)

380cst $717
180cst $745
MGO $1043

Very tight avails for 180 cst

New Orleans (ex-wharf indications 2-4)

380cst $719
180cst $747
MGO $1046

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

Crude is firmly up with WTI +$1.60 Singapore paper is gaining bullish momentum with +$6.90 for 180cst and +$7.60 for 380cst for Apr, and for May 180 cst +$8.70 and 380cst +$8.85 with MGO contracts Apr +$2.00 and May +$2.01. The cargo market is slowly turning as well with 180cst +$0.77, 380cst +$3.22 and MGO -$0.42.

The Singapore fuel oil markets rose by $0.75- 3.25 during the morning yesterday. Despite the recent reporting of a supply build in the Singapore heavy residual fuel oil stockpile, market seems to be firm moving forward with expectation of tightening possibility. The delivered bunker premiums hovered around $3.2 above cargo prices yesterday. This morning markets are trading slightly higher.

High premiums for prompt deliveries.

380 cst $738
180 cst $748
MGO $1020

ARA (Amsterdam - Rotterdam - Antwerp)

The ARA markets are trading down on bearish EU economic data. Two fixtures have been reported, which will eat into the avails of hsfo. with loading congestion lurking. The Lsfo shortages are easing, with more product becoming available. A contango structure is seen for April-May in Rotterdam, suggesting increasing prices. In the MOC HSFO traded between 702.50-705 usd and LSFO between 757-764 usd.

Rotterdam

Indications for delivered bunkers:
380cst : $ 713
(1.0 %) :$ 775
180cst: $ 735
(1.0 %):$ 798
MGO 0.1%S: $1022