Fuel Oil Morning Report 12/05/21

U.S. West Texas Intermediate (WTI) crude futures rose 21 cents, or 0.3%, to $65.49 a barrel at 0013 GMT, adding to a 36 cent rise on Tuesday. Brent crude futures climbed 15 cents, or 0.2%, to $68.70 a barrel, adding to a 23 cent gain on Tuesday.

 

API

Crude -2.533M

Cushing -1.209M

Gasoline +5.640M

Distillate -0.872M

 

Panic buying in the East Coast of the US has sparked shortages in gasoline as the largest supply line to the region remains under control of the group DarkSide for a fifth day. Motorists have been told not to hoard gasoline supplies and only fill up if totally necessary, with the hope that the situation will be resolved by the end of the week.

 

Oil prices were supported mostly by the crude draw posted last night by the API figures with a draw of over 2.5 million barrels which was slightly lower than the predicted 2.8 million barrel drop, with a 0.8 million barrel fall in distillate stocks. Surprisingly, gasoline stocks in the week ending 7th May, gasoline stocks rose by over 5 million barrels. Further to the figures, brent was supported by a weakening dollar over the course of Monday.

 

In Fuel, the front barges HSFO crack weakened to its lowest levels in over a year, falling to lows of -10.50 throughout the course of the afternoon as HSFO demand continues to be sluggish. There was a slight recovery into this morning with the front crack opening at -9.95, with the Cal22 crack being marked at -10.80 to start Wednesday.

 

 

INDEX: (MTD Estimates)

* Sing 380: 383.69

* Rott 3.5%: 372.46

* Sing 0.5%: 495.77

* Rott 0.5%: 478.54

 

 

OIL MARKET ROUND-UP:
* Robust Chinese Fuel Demand Cushioning Oil Market Once Again
* OPEC Raises Demand Forecast for Its Crude as U.S. Supply Slips
* API Reports U.S. Crude Stockpiles fell 2.53M Bbl Last Week
* Europe’s High-Sulfur Fuel Oil Margin Plunges to One-Year Low
* A Supply-Demand Measure for the Global Oil Market Is Weakening

* 9am: IEA Oil Market Report
* 9am: Genscape weekly crude inventories in Europe’s ARA region
* 3:30pm: EIA weekly report on U.S. oil inventories

 

 

*Rotterdam 3.5% INDIC*                                            

Jun21    370.75   /             372.75

Jul21      369.50   /             371.50

Aug21   367.00   /             369.00

Sep21    363.25   /             365.25

Oct21    358.75   /             360.75

Nov21   355.00   /             357.00

Q3-21    366.75   /             368.75

Q4-21    355.25   /             357.25

Q1-22    349.00   /             351.00

Q2-22    344.00   /             347.00

CAL22    339.75   /             345.75

 

*Singapore 380 INDIC*                                

Jun21    381.50   /             383.50

Jul21      381.25   /              383.25

Aug21   380.00   /             382.00

Sep21    377.75   /             379.75

Oct21    374.50   /             376.50

Nov21   371.75   /             373.75

Q3-21    379.75   /             381.75

Q4-21    372.25   /             374.25

Q1-22    366.75   /             368.75

Q2-22    361.75   /             364.75

CAL22    358.75   /             364.75

 

*Rott VLSFO 0.5% INDIC*                                           

Jun21    479.00   /              484.00

Jul21      479.00   /              484.00

Aug21   478.75   /              483.75

Sep21    478.50   /              483.50

Oct21    478.00   /              483.00

Nov21   477.00   /              482.00

Q3-21    478.75   /              483.75

Q4-21    477.00   /              482.00

Q1-22    473.00   /              479.00

Q2-22    468.00   /              476.00

CAL22    465.50   /              473.50

 

*Sing VLSFO 0.5% INDIC*                                            

Jun21    497.50   /              502.50

Jul21      499.00   /              504.00

Aug21   499.75   /              504.75

Sep21    500.00   /              505.00

Oct21    500.00   /              505.00

Nov21   499.25   /              504.25

Q3-21    499.50   /              504.50

Q4-21    499.25   /              504.25

Q1-22    496.75   /              502.75

Q2-22    492.75   /              500.75

CAL22    490.00   /              498.00

 

*Sing 10ppm GO INDIC*                                              

Jun21    74.57     /              74.71

Jul21      74.48     /              74.68

Aug21   74.46     /              74.66

Sep21    74.42     /              74.62

Oct21    74.31     /              74.51

Nov21   74.11     /              74.31

Q3-21    74.40     /              74.70

Q4-21    74.04     /              74.34

Q1-22    73.64     /              73.94

Q2-22    73.31     /              73.61

CAL22    73.12     /              73.52

 

*ICE Gasoil 10ppm INDIC*                                          

Jun21    560.06   /              564.06

Jul21      561.14   /              565.14

Aug21   562.14   /              566.14

Sep21    563.18   /              567.18

Oct21    562.58   /              566.58

Nov21   560.30   /              564.30

Q3-21    562.15   /              566.15

Q4-21    560.99   /              564.99

Q1-22    557.62   /              561.62

Q2-22    552.11   /              556.11

CAL22    554.52   /              558.52

 

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

 

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Email: RickyF@freightinvestor.com

Mobile: (+44) 7868 708719

 

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Email: SamT@freightinvestor.com

Mobile: (+44) 7729 118643

 

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Email: jessied@freightinvestor.com

Mobile: (+86)1352 4516743

 

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

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