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Crude oil eased towards $109 a barrel this morning, as concern about the looming US fiscal cliff and weak economic data from Japan offset signs that Chinese oil demand grew last month. Fear that the US, the world’s top oil consumer, could tip into recession as a result of about $600bn in spending reductions and expiring tax cuts weighed across financial markets.

Quotations at ICE and NYMEX initially traded within their technical range on Friday morning remaining below Thursday's lows. According to market participants, trade was dominated by technical factors and lacked direction as many investors refrained from taking to much risk given the ups and downs after the US elections. Chinese economic data published earlier on Friday morning exceeded expectations but were unable to sustainably push markets higher. Furthermore, with its downward revision of global oil demand in 2013, the OPEC's monthly energy report has also come out slightly bearish. Only in the course of the evening bullish factors surprisingly prevailed and oil futures in London and New York sharply rose. Futures breached some resistance lines accelerating the rise while some European investors have already been waited for the weekend and trade became thinner. The Michigan University's positive consumer sentiment index, rising tensions in the Near East and the recovering fuel demand in the Northeast of the USA obviously made investors change their minds and fuelled the surge.

ICE Gasoil contract for November delivery settled at 930.50 dollars on Friday. This was 10.00 dollars above Thursday's settlement. With some 34,900 deals the traded volume was below average.

The stochastic indicator's selling signal has meanwhile waned. The indicator's lines have met both at ICE and NYMEX and can thus be interpreted as neutral. The RSI is also in the neutral zone. Technically, there are thus no new clues, whereas the stochastic indicator would turn bullish if its lines cross.

U.S.

Nymex Access steady: Oil prices have hardly changed in East-Asia and on Globex electronic trading platform this morning, consolidating on a high level after Friday's late rise. After the opening of the European session, they have edged slightly lower as the euro lost some ground. The traded volume is on average. Investors now keep track of the performance of stock markets and new clues from forex trade. There is but little impact to be expected from today's economic indicators.

Today public holiday - Veterans day

Houston (ex-wharf indications 09-11)

380cst $610
180cst $714
MGO $1020

New Orleans (ex-wharf indications 09-11)

380cst $614
180cst $710
MGO $1030

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

Crude is steady with WTI +$0.99. Singapore paper is bullish, going up with +$12.75 for 180cst and +$15.75 for 380cst for Nov, and for Dec 180 cst +$11.80 and 380cst +$11.85 with MGO Nov contracts at +$1.65 and for Dec at +$1.65. The cargo market is falling with 180cst -$5.59, 380cst -$5.20 and MGO -$0.47.

The Singapore fuel oil markets fell around -$5.5 during the morning Platts window last Friday. The Asian fuel oil crack continued to weaken with strong selling interest. The delivered bunker premiums were ranging $4.0- 5.5 above cargo prices last Friday. The Singapore markets are closed tomorrow on public holiday. This morning the markets are trading higher.

High premiums for prompt deliveries.

380 cst $605
180 cst $615
MDO $920

ARA (Amsterdam - Rotterdam - Antwerp)

Although there are still a lot of waiting times at the loadinginstallations for HSFO, the avails for HSFO and LSFO are good.

Indications for delivered bunkers:

380cst : $ 585
(1.0 %) :$ 615
180cst: $ 615
(1.0 %):$ 635
MGO 0.1%S: $ 930