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Crude oil futures were little changed this morning as investors are reluctant to take new positions ahead of key U.S. jobs data due Friday, and next week's U.S. presidential elections and a transition of political power in China. At 1003 GMT, the front-month December Brent contract on London's ICE futures exchange was down 28 cents, or 0.3%, at $ 108.42 a barrel. The front-month December Nymex crude contract was trading up 20 cents, or 0.2%, at $86.44 per barrel.

On Wednesday morning, at first the bullish factors prevailed at oil markets, with crude oil futures and the NYMEX gasoline futures trading more steadily. As to the gasoline contract, many traders said that there was a short squeeze concerning the front month November which expired yesterday evening. After NYMEX floor trade had remained closed Monday and Tuesday, some market players still needed to liquidate some short positions in order to avoid real delivery commitments. The stronger euro and gaining equities favored oil futures rise until the early afternoon. After the opening of NYMEX floor trade, the bearish factors seemed to return into focus and quotations retreated. According to first reports, the damages done to refineries have been less than anticipated and so analysts start to bring the lower demand back into discussion. Late in the evening, oil futures at ICE and NYMEX thus saw some profit taking, settling near their lows. Only the WTI crude remained steadier. The fact that refinery shut-downs did not have as significant effects as expected bolstered crude oil demand. This made some spread betters cut their positions and thus the spread between the Brent and the WTI narrowed to 22.25 dollars.

ICE Gasoil contract for November delivery settled at 958.00 dollars on Wednesday. This was 5.50 dollars below Tuesday's settlement. With some 52,400 deals the traded volume was on average.

As oil futures diverged yesterday, the technical indicators still don't point to any clear direction. While the stochastic indicator is still bullish at the WTI crude's chart, the indicator remains bearish for the Brent and products. The RSI still moves below the 30%-line at the Brent and Gasoil charts, giving no signal. However, if the indicator breaches this line bottom-up, there might be a new buying signal. Technical analysts thus stay on the sidelines this morning, assessing the situation as largely neutral.

U.S.

Nymex access bearish: Oil futures have hardly changed in East-Asia and on Globex electronic trading platform this morning, whereas currently the Gasoil at ICE is testing its downward potential. Crude oil futures remain steady though. The traded volume is on average. Investors now look ahead to the damage reports regarding Hurricane Sandy, on the performance of stock and forex markets and some economic indicators. Moreover, the DOE is to release its data on US oil inventories this afternoon.

Survey of US Petroleum inventories due out tonight at 16:30(DOE).
Crude oil +1.6; distillates -1.4; gasoline +0.0 million barrels vs previous week.
API: Crude oil +2.1; distillates -2.6; gasoline -0.2 million barrels vs previous week.

Houston (ex-wharf indications 31-10)

380cst $611
180cst $682
MGO $1040

New Orleans (ex-wharf indications 31-10)

380cst $613
180cst $683
MGO $1030

Singapore (correct as per 14:30hrs LT-delivered indications)

Crude with WTI +$0.00. Singapore paper is bearish with -$6.75 for 180cst and -$5.25 for 380cst for Oct, and for Nov 180 cst -$6.10 and 380cst -$6.10 with MGO contracts Oct -$0.50 and Nov -$0.56 The cargo market is stable with 180 cst -$1.29 380cst -$0.50 and MGO +$0.12.

The Singapore fuel oil markets extended loss slipping between -$1.5 to -$0.5 during the morning Platts window yesterday. The fuel oil market continued to exhibit weakness with ample supply as the fuel oil cracks weakened further. The delivered bunker premiums slipped to around $5.8 above cargo prices. Bunker fuel oil swaps remained largely unchanged for Singapore papers, gaining app.$0.5/mt along the curve. This morning the markets are trading down.

380 cst $615
180 cst $625
MGO $920

ARA (Amsterdam - Rotterdam - Antwerp)

High sulfur bunker fuel oil premiums for prompt delivery in Rotterdam remain firm on ongoing delays at some loading installations and despite ample supply in the ex-wharf barge market. Premiums for prompt can reach $3/mt to $10/mt above normal bunker quotes. LSFO avails are good.

Rotterdam

Indications for delivered bunkers:

380cst : $ 592
(1.0 %) :$ 628
180cst: $ 622
(1.0 %):$ 658
MGO 0.1%S: $934