Morning Oil Report

Brent futures for November delivery fell $1.40, or 3.3%, to settle at $41.03 a barrel, while the more active Brent contract for December fell 3.1% to settle at $41.56. WTI crude fell $1.31, or 3.2%, to settle at $39.29 per barrel.

 

A quiet Tuesday mimics the sentiment of Monday as we lead up to the start of Golden Week in China starting on the first of October, although oil fell over $1 at 15.30GMT, combined with the death of Kuwait’s Humanitarian Emir and the scathing debates that happened at 0100GMT on Wednesday lead to investor uncertainty surrounding oil prices.

 

Bearish factors on both the demand and supply side continued to weigh in Asia trade and were not expected to improve in the near term according to experts, as a retreat in the days prices came after the dollar weakened and a surge in US equity prices. The balance is between rising Virus cases suggest that demand will fall versus increasing supply from countries such as Libya. (S&P Global Platts)

 

Heads of the top global trading houses have spoken at the global FT commodities annual summit and suggested that Crude prices remain flat well into 2021, as there are modest expectations for the near future. The majority have crude rangebound at $40-$45 with the CEO of Mercuria being the most pessimistic on the situation by not expecting demand to rebound until at least 3 years’ time. (Reuters)

 

Gazprom has pledges to honour its dividend payments and policies, notwithstanding any market conditions. It has said that it will pay no less than half of its adjusted net profit in dividend. Whilst in other oil major news, Shell plans to cut 9,000 jobs, or 10% of its workforce as it shifts its attentions away from oil and gas to low carbon alternatives as it looks to save up to $2.5 billion by the end of 2022. (Reuters)

 

MARKETS NEWS:
* Crude Trading Hits Lowest This Year as Volatility Slumps:
Chart
* Pierre Andurand Expects Oil Demand May Peak in Six Years
* Gasoline Prices Overtake Diesel With Cars Favored Amid Virus
* Threat of Venezuela Sanctions Has Reliance Buying Canadian
Crude
* Some Norway Oil Workers Strike, Johan Sverdrup Field May Shut
* Total Sees Oil Demand Peaking Around 2030 as World Goes Green
* Russia Raises Oil Output Amid OPEC+ Calls for Full Compliance
* Battered Oil Refiners Find Some Relief in Gasoline, Plastics
Use
* Benchmark VLCCs Extend Drop; Dirty Tankers to NW Europe Rise
* API Reports U.S. Crude Stockpiles fell 831K Bbl Last Week
* India Exploring Storing Crude in U.S. and Other Countries

OTHER NEWS:
* Shell to Announce Restructuring of Senior Roles on Wednesday
* U.S. Oil Fund Aug. Total Income $204.11B; Shares Fall 3.7%
* Marathon Petroleum Starts Cutting Jobs, Reuters Says

PHYSICAL CRUDE NEWS:
* ASIA: Saudis Seen Raising Arab Light OSP; Indian Storage
* LATAM: Reliance Gets Term of Canadian Crude; Peru Protests
* US/CANADA: Reliance Term Canada Oil; Barge Bankruptcy
* NSEA: BFOET Loadings to Dip; Litasco Offers Forties
* MED: Socar, Equinor Offer Azeri Light; Hellenic Tender
* WAF: Sonangol Sells Clov; Pertamina Closes Dec. Tender

OIL PRODUCT NEWS:
* U.S.: Demand Rally 18 Months Off, Top Traders Say
* EUROPE: BP Gelsenkirchen to Halt Units; Primorsk
* ASIA: India’s Gasoline Crunch; Pertamina Naphtha

ECONOMIC DATA/EVENTS: (Times are London.)
* 3:30pm: EIA weekly oil inventory report
* FT Summit, final day, with speakers including Petrobras CEO
Roberto Castello Branco
* EIA Monthly Crude and Natural Gas Production and Petroleum
Supply Monthly reports
* Genscape weekly ARA crude inventory report
* Total SA investor day
** See OIL WEEKLY AGENDA for this week’s events

ANALYST VIEWS/COLUMNS:
* Crude Output Creeping Up at Wrong Time for Virus-Stricken
Market
* BNP Paribas Lowers 2021 Price Forecasts for Brent, WTI

OTHER FINANCIAL MARKETS:
* U.S., European Futures Dip After Election Debate: Markets Wrap

 

Singapore 380 INDIC                                     

Oct20    233.75   /             235.75

Nov20   234.25   /              236.25

Dec20    235.50   /             237.50

Jan21     237.25   /             239.25

Feb21    239.00   /             241.00

Mar21   240.75   /             242.75

Q4-20    234.50   /             236.50

Q1-21    239.00   /             241.00

Q2-21    244.25   /             246.25

Q3-21    248.00   /             251.00

CAL21    247.00   /             250.00

 

Rotterdam 3.5% INDIC                                 

Oct20    220.75   /             222.75

Nov20   221.00   /             223.00

Dec20    221.25   /             223.25

Jan21     223.00   /             225.00

Feb21    224.75   /             226.75

Mar21   226.50   /             228.50

Q4-20    221.00   /             223.00

Q1-21    224.75   /             226.75

Q2-21    229.75   /             231.75

Q3-21    232.25   /             235.25

CAL21    231.25   /             234.25

 

Singapore VLSFO 0.5% INDIC                                     

Oct20    305.50   /              310.50

Nov20   304.50   /              309.50

Dec20    304.25   /              309.25

Jan21     304.25   /              309.25

Feb21    305.00   /              310.00

Mar21   306.00   /              311.00

Q4-20    304.75   /              309.75

Q1-21    305.00   /              310.00

Q2-21    308.00   /              314.00

Q3-21    312.00   /              318.00

CAL21    310.00   /              316.00

 

Rott VLSFO 0.5% INDIC                                 

Oct20    286.75   /              291.75

Nov20   286.00   /              291.00

Dec20    285.75   /              290.75

Jan21     286.25   /              291.25

Feb21    287.00   /              292.00

Mar21   288.25   /              293.25

Q4-20    286.00   /              291.00

Q1-21    287.00   /              292.00

Q2-21    290.25   /              296.25

Q3-21    294.00   /              300.00

CAL21    292.00   /              298.00

 

Sing 10ppm GO INDIC                                   

Oct20    43.27     /              43.41

Nov20   43.72     /              43.92

Dec20    44.16     /              44.36

Jan21     44.57     /              44.77

Feb21    45.00     /              45.20

Mar21   45.44     /              45.64

Q4-20    43.70     /              43.90

Q1-21    45.01     /              45.21

Q2-21    46.31     /              46.51

Q3-21    47.64     /              47.84

CAL21    46.75     /              47.15

 

ICE Gasoil 10ppm INDIC                               

Oct20    324.15   /              326.15

Nov20   328.69   /              330.69

Dec20    332.76   /              334.76

Jan21     337.23   /              339.23

Feb21    341.46   /              343.46

Mar21   344.65   /              346.65

Q4-20    328.55   /              330.55

Q1-21    341.11   /              343.11

Q2-21    350.56   /              352.56

Q3-21    362.55   /              364.55

CAL21    356.00   /              358.00

 

 

For more information please contact

FIS Oil Desk

info@freightinvestor.com
UK number: +44 (0) 207 090 1134
Shanghai number: +86 (0)21 63012568
Singapore: +65 87984987

Luke Longhurst

Email: LukeL@freightinvestor.com

Mobile: (+44) 7966 968761

 

Ricky Forman

Email: RickyF@freightinvestor.com

Mobile: (+44) 7868 708719

 

Chris Hudson

Email: ChrisH@freightinvestor.com

Mobile: (+44) 7951 556947

 

Jessie Deng

Email: jessied@freightinvestor.com

Mobile: (+86)1352 4516743

 

Jarryd Smith
Email: jarryds@freightinvestor.com
Mobile: (+65) 87984987

Leave a comment

Your email address will not be published. Required fields are marked *