Brent crude was down 60 cents, or 0.9%, at $63.93 a barrel by 0136 GMT before softening sharply to print $63.60 by 0715GMT. U.S. oil was off by 68 cents, or 1.1%, at $60.74 a barrel. Both contracts fell by more than 6% last week.
Oil rose more than 2% in volatile trading on Friday but finished the week about 7% lower as a new wave of coronavirus infections across Europe dampened hopes that fuel demand would recover soon. Oil fell over 8% on Thursday after a day of no fundamental news in the market but breaking through four support levels which ended up in a snowball effect until before stabilising slightly and remaining under $65 for Friday’s trading. There are concerns of growing lockdowns in countries across Europe, with parts of France now back into partial lockdowns and Germany plans to extend a lockdown to contain COVID-19 infections into a fifth month, according to a draft proposal, after new cases exceeded levels authorities say will cause hospitals to be overstretched.. Further afield Brazil is recording high case counts, as well as India. (Reuters)
Saudi Arabia’s energy ministry said it had contained a fire following a March 19 drone attack on its Riyadh refinery, with no interruption to oil supplies and no casualties, in the latest strike claimed by Yemen’s Iranian-backed Houthi rebels. The Houthis had earlier announced a hit on an unspecified Saudi Aramco facility in the Saudi capital, in an attack using six drones. The Riyadh refinery has a crude distillation capacity of about 140,000 b/d. the attack is the second of the month, with the other coming on the 7th March as the same group were responsible for an attack on the Ras Tanura – a key export terminal for Crude. (S&P Global Platts)
Asian residual fuel markets, especially upstream low sulphur marine fuel, is unlikely to see any significant upside in the week of March 22-26, on a lack of impetus from any potential incremental demand. A lacklustre sentiment was also underpinned by expectations that the market would remain balanced, if not long, in the near term. (S&P Global Platts)
The oil and gas rig count, an early indicator of future output, rose nine to 411 in the week to March 19, its highest since April, Baker Hughes Co said in its closely followed report on Friday. That puts the rig count, which has climbed over the past seven months, up 68% since falling to a record low of 244 in August 2020. The total count, however, is still 361 rigs, or 47%, below this time last year. (Reuters)
INDEX: (MTD Estimates)
* Sing 380: 387.69
* Rott 3.5%: 372.70
* Sing 0.5%: 499.32
* Rott 0.5%: 479.61
*Rotterdam 3.5% INDIC*
Apr21 355.25 / 357.25
May21 353.50 / 355.50
Jun21 350.00 / 352.00
Jul21 345.75 / 347.75
Aug21 341.00 / 343.00
Sep21 335.25 / 337.25
Q2-21 352.75 / 354.75
Q3-21 340.50 / 342.50
Q4-21 324.25 / 326.25
Q1-22 316.25 / 319.25
CAL22 310.50 / 316.50
*Singapore 380 INDIC*
Apr21 369.50 / 371.50
May21 367.00 / 369.00
Jun21 364.00 / 366.00
Jul21 360.50 / 362.50
Aug21 356.75 / 358.75
Sep21 352.50 / 354.50
Q2-21 366.75 / 368.75
Q3-21 356.50 / 358.50
Q4-21 344.25 / 346.25
Q1-22 336.75 / 339.75
CAL22 331.00 / 337.00
*Rott VLSFO 0.5% INDIC*
Apr21 452.00 / 457.00
May21 451.25 / 456.25
Jun21 450.25 / 455.25
Jul21 449.25 / 454.25
Aug21 448.00 / 453.00
Sep21 446.75 / 451.75
Q2-21 451.25 / 456.25
Q3-21 448.00 / 453.00
Q4-21 443.50 / 449.50
Q1-22 438.00 / 446.00
CAL22 431.25 / 439.25
*Sing VLSFO 0.5% INDIC*
Apr21 473.00 / 478.00
May21 472.25 / 477.25
Jun21 471.25 / 476.25
Jul21 470.25 / 475.25
Aug21 469.25 / 474.25
Sep21 468.25 / 473.25
Q2-21 472.25 / 477.25
Q3-21 469.25 / 474.25
Q4-21 465.25 / 471.25
Q1-22 460.50 / 468.50
CAL22 455.00 / 463.00
*Sing 10ppm GO INDIC*
Apr21 68.12 / 68.26
May21 68.22 / 68.42
Jun21 68.29 / 68.49
Jul21 68.33 / 68.53
Aug21 68.39 / 68.59
Sep21 68.38 / 68.58
Q2-21 68.15 / 68.45
Q3-21 68.32 / 68.62
Q4-21 68.12 / 68.42
Q1-22 67.77 / 68.07
CAL22 67.51 / 67.91
*ICE Gasoil 10ppm INDIC*
Apr21 510.01 / 514.01
May21 512.13 / 516.13
Jun21 513.29 / 517.29
Jul21 514.14 / 518.14
Aug21 514.80 / 518.80
Sep21 515.64 / 519.64
Q2-21 511.80 / 515.80
Q3-21 514.86 / 518.86
Q4-21 514.71 / 518.71
Q1-22 512.41 / 516.41
CAL22 511.20 / 515.20
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