BUNKER INDEX :: Price Index, News and Directory Information for the Marine Fuel Industry



« News Home
:: Monthly Archive

News Topics
:: Air Pollution
:: Agreements & M&A's
:: Alternative Fuels
:: BunkerBlog
:: Cargoes & Storage
:: Company News
:: Efficiency, Costs & Charges
:: Environment
:: Events
:: Financial
:: Fuel Quality & Testing
:: Lubes & Additives
:: Oil Spills
:: People
:: Port News
:: Projects
:: Regulation, Legal
:: Services, Products,Technology
:: Statistics & Research
:: Vessels

Regional Archive
:: Americas
:: Asia/Oceania
:: Europe
:: M.East/Africa


BUNKER INDEX :: Price Index, News and Directory Information for the Marine Fuel Industry
Home » News



Oil and fuel oil hedging market update

By the Oil Desk at Freight Investor Services.



Image credit:


Updated on 16 Jul 2018 10:52 GMT

Commentary

Brent closed Friday up $0.88 to $75.33 and WTI closed at $71.01 up $0.68. Brent seems to be happy to flirt around this $75 number, as it has done for quite a while now, but this week could give us a reason to break us out of this $7 handle, I think. I'd love to be a fly on the wall when Trump and Putin meet later. Both translators will probably look at each other after each response and say: "Did he really say that?" The oil market will be keeping a close eye on any talk of increasing oil production, however. Both the US and Russia have clearly said that they are ready to increase production as and when necessary. Last week signified quite the milestone for the US oil industry; oil product imports were at a three-decade low and crude oil exports were at 3mb/d - the highest figure ever. In 2005, US weekly net imports peaked, routinely topping 13 mb/d. Now that figure has plunged to less than 2 mb/d. I'm not saying that the US still isn't heavily reliant on imports; the grades of crude the AC and GC refineries run are not really suited to the light bbl the US produce, but with each passing week, the US is becoming more and more intrinsically part of the global oil trading network. Even if the meeting doesn't bring out of it an agreement on production increase, then each will be so sour about things that "war" will be the only other option. Hello $100 oil. Good day and week to all.

Fuel Oil Market (Jul 13)

The front crack opened at -8.75, strengthening to -8.25, before weakening to -8.45. The Cal 19 was valued at -15.30.

Asia's fuel oil market firmed with the August 380 cSt fuel oil crack and front-month time spread being bid higher on Friday, trade sources said. Shrinking fuel oil inventories across key global storage hubs, lower output and firm seasonal demand for power generation have helped boost sentiment in the fuel oil market and restrict arbitrage flows into Singapore and Asia.

Singapore marine fuel sales dropped 8.4 percent in June from a month ago to 3.922 million tonnes, data from the Maritime and Port Authority of Singapore (MPA) showed on Friday.

Weekly fuel oil stocks in the ARA oil and storage hub dropped 20 percent, or 302,000 tonnes, to a five-week low of 1.206 million tonnes in the week ended July 5.

Economic data/events (Times are London.)

* 1:30pm: Bloomberg forecast of U.S. waterborne LPG exports

* 1:30pm: U.S. Retail Sales, June

* 1:30pm: U.S. Empire Manufacturing, July

* 3pm: U.S. Business Inventories, May

* Bloomberg proprietary forecast of Cushing crude inventory change plus weekly analyst survey of crude, gasoline, distillates inventories before Wednesday’s EIA report

* U.S. President Donald Trump and Russian President Vladimir Putin hold their first summit, Helsinki

* EIA’s Monthly Drilling Productivity Report

Singapore 380 cSt

Aug18 - 442.75 / 444.75

Sep18 - 435.75 / 437.75

Oct18 - 430.75 / 432.75

Nov18 - 427.25 / 429.25

Dec18 - 424.25 / 426.25

Jan19 - 421.25 / 423.25

Q4-18 - 427.50 / 429.50

Q1-19 - 418.25 / 420.25

Q2-19 - 408.00 / 410.50

Q3-19 - 381.25 / 383.75

CAL19 - 384.25 / 387.25

CAL20 - 305.75 / 311.75

Singapore 180 cSt

Aug18 - 451.25 / 453.25

Sep18 - 444.75 / 446.75

Oct18 - 440.75 / 442.75

Nov18 - 437.25 / 439.25

Dec18 - 434.25 / 436.25

Jan19 - 432.25 / 434.25

Q4-18 - 437.50 / 439.50

Q1-19 - 429.50 / 431.50

Q2-19 - 420.25 / 422.75

Q3-19 - 397.25 / 399.75

CAL19 - 399.50 / 402.50

CAL20 - 329.00 / 335.00

Rotterdam 3.5%

Aug18 - 422.25 / 424.25

Sep18 - 417.00 / 419.00

Oct18 - 412.75 / 414.75

Nov18 - 409.00 / 411.00

Dec18 - 405.25 / 407.25

Jan19 - 403.00 / 405.00

Q4-18 - 409.00 / 411.00

Q1-19 - 400.25 / 402.25

Q2-19 - 389.00 / 391.50

Q3-19 - 361.50 / 364.00

CAL19 - 362.50 / 365.50

CAL20 - 294.00 / 300.00



Founded in 2002, Freight Investor Services is a specialist in dry bulk and commodity derivatives, including cargo freight, iron ore, fertilizer and bunker fuel. The company has offices in London, Dubai, Singapore and Shanghai.

For further details about fuel oil swaps or to discuss trading opportunities, please call +44 20 7090 1120, or email info@freightinvestor.com.






Related Links:

Oil and fuel oil hedging market update
Freight Investor Services Ltd.

Latest News:

Risk minimisation in uncertain times | Geos Group
Bunker Energy takes over Maxcom Bunker's commercial activities
World Fuel Services to launch Pacific Northwest supply operation
Oil and fuel oil hedging market update
Brent remains in the $60s this morning
Oil and fuel oil hedging market update
$60s are hard to hold
Silverstream hails air lubrication uptake ahead of 2020
Oil and fuel oil hedging market update
OPEC, non-OPEC oil producers agree to cut 1.2m bbl/d
Aegean secures final approval for initial set of motions
MoU signed to test fuel gas and bunkering systems in Busan




Page Links:

Prices
Africa
Asia
Latin America
Middle East
North America
North Europe
South Europe
Index Summary
Price Highlights
Commentaries
Futures
Prices
Antwerp
Busan
Fujairah
Houston
Istanbul
Kaohsiung
Las Palmas
Maracaibo
New Orleans
Piraeus
Rio de Janeiro
Rotterdam
Santos
Singapore
News
Latest News
Blogs
Archive
Americas
Asia
Europe
Middle East
News
Air Pollution
Agreements & M&A's
Alternative Fuels
Cargoes & Storage
Efficiency, Costs & Charges
Environment
Events
Financial
Fuel Quality
Lubes & Additives
Oil Spills
People
Port News
Projects
Regulation/Legal
Services, Products, Technology
Statistics & Research
Vessels
Contact & Terms
Contact Us
Advertise
Terms & Conditions
Privacy Policy
Events
Upcoming Events