Fuel Oil Morning Report 01/03/21

Oil prices rebounded more than $1 on Monday after the U.S. House of Representatives passed a huge stimulus package, although a drop in China’s February factory activity growth capped gains. Brent crude futures for May rose $1.07, or 1.7%, to $65.49 per barrel by 0410 GMT. The April contract expired on Friday. U.S. West Texas Intermediate (WTI) crude futures jumped $1.01, or 1.6%, to $62.51 a barrel. Front-month prices for both contracts touched 13-month highs last week, slipping back on Friday along with wider financial markets following a bond rout amid inflation fears.

 

US Oil output was down in December as EIA figures show a fall in of 58,000 barrels per day to 11.063 million bpd in December Total U.S. oil demand in December was down 1.49 million bpd, or 7.4%, from a year earlier. Demand for gasoline was down 1.109 million bpd, or 12.4% from a year earlier as the worlds largest crude oil producers battles with the effect of the Coronavirus pandemic and the fallout of collapsing demand for oil. (Reuters)

 

The UAE have addressed the potential relaxation of output cuts with acknowledging that any increase in supply would depend on the rollout of vaccines globally and the success of any such vaccine programme as the global economy would need to be able to absorb 1.5 million extra barrels per day. These levels would also need to take into account any crude stocks accrued since the start of 2021 in a bid to balance the supply and demand fundamentals going forwards. (S&P Global Platts)

 

Baker Hughes announced that active oil and gas rigs rose by 5 in the past week, 388 lower than at the same point in 2020 as oil prices tumbled throughout the previous year. WTI and Brent were both trading sharply down on Friday, after sizable gains made last week as the market senses a tightening of supply is taking shape, with oil inventories in the United States

now at the five-year average. (OilPrice.com)

 

 

OIL MARKET ROUND-UP:
* U.S. Freeze Hammers Europe’s Bottom-of-the-Barrel Oil Exports
* Net Bullish Brent, WTI Oil Bets Boosted to Most in 13 Months
* Oil Crash Pushed 2020 U.S. Output to First Drop in Four Years
* EOG Plunges on Plan to Boost Output as Shale Rivals Retreat
* Sinopec Supplies Its First IMO-Grade Bunker Fuel in Sri Lanka
* Libya’s Oil Company Wins Arbitration Over Ras Lanuf Refinery

OIL PRODUCT NEWS:
* EUROPE: Exxon Rotterdam Maintenance, Tupras Restart
* ASIA: Teapot Margins to Gain; China Carbon Target
* U.S.: Refining Margins Jump Prompts Race to Restart

ECONOMIC DATA/EVENTS:
* Bloomberg OPEC production survey for February
* Credit Suisse 26th Annual Virtual Energy Summit, through March 3
* HOLIDAY: South Korea

 

*Rotterdam 3.5% INDIC*                                          

Apr21    362.25   /            364.25

May21   358.00   /            360.00

Jun21     353.50   /            355.50

Jul21      348.50   /            350.50

Aug21    343.25   /            345.25

Sep21    337.50   /            339.50

Q2-21    358.00   /            360.00

Q3-21    343.00   /            345.00

Q4-21    328.50   /            330.50

Q1-22    322.25   /            325.25

CAL22    310.75   /            316.75

 

*Singapore 380 INDIC* 

Apr21    375.25   /            377.25

May21   372.50   /             374.50

Jun21     369.00   /            371.00

Jul21      365.25   /            367.25

Aug21    361.25   /            363.25

Sep21    357.00   /            359.00

Q2-21    372.25   /            374.25

Q3-21    361.25   /            363.25

Q4-21    348.75   /            350.75

Q1-22    341.50   /            344.50

CAL22    331.50   /            337.50

 

*Rott VLSFO 0.5% INDIC*                                         

Apr21    474.25   /             479.25

May21   472.00   /             477.00

Jun21     469.50   /             474.50

Jul21      467.00   /             472.00

Aug21    464.25   /             469.25

Sep21    461.50   /             466.50

Q2-21    471.75   /             476.75

Q3-21    464.25   /             469.25

Q4-21    455.50   /             461.50

Q1-22    448.00   /             456.00

CAL22    433.75   /             441.75

 

*Singapore VLSFO 0.5% INDIC*                              

Apr21    495.50   /             500.50

May21   492.75   /             497.75

Jun21     490.25   /             495.25

Jul21      487.75   /             492.75

Aug21    485.25   /             490.25

Sep21    482.75   /             487.75

Q2-21    492.75   /             497.75

Q3-21    485.25   /             490.25

Q4-21    477.25   /             483.25

Q1-22    469.25   /             477.25

CAL22    459.50   /             467.50

 

*Sing 10ppm GO INDIC*                                           

Apr21    71.28     /             71.42

May21   71.09     /             71.29

Jun21     70.92     /             71.12

Jul21      69.12     /             69.32

Aug21    68.93     /             69.13

Sep21    68.75     /             68.95

Q2-21    71.05     /             71.35

Q3-21    68.88     /             69.18

Q4-21    68.29     /             68.59

Q1-22    67.67     /             67.97

CAL22    66.93     /             67.33

 

*ICE Gasoil 10ppm INDIC*                                        

Apr21    534.79   /             536.79

May21   534.25   /             536.25

Jun21     533.33   /             535.33

Jul21      532.49   /             534.49

Aug21    532.08   /             534.08

Sep21    531.84   /             533.84

Q2-21    534.10   /             536.10

Q3-21    532.14   /             534.14

Q4-21    529.02   /             531.02

Q1-22    523.02   /             525.02

CAL22    518.31   /             520.31

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 *