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
Ricky Forman
Email: RickyF@freightinvestor.com
Mobile: (+44) 7868 708719
Sam Twyford
Email: SamT@freightinvestor.com
Mobile: (+44) 7729 118643
Jessie Deng
Email: jessied@freightinvestor.com
Mobile: (+86)1352 4516743
Jarryd Smith
Email: jarryds@freightinvestor.com
Mobile: (+65) 87984987
The information provided in this communication is not intended for retail clients. It is general in nature only and does not constitute advice or an offer to sell, or the solicitation of an offer to purchase any swap or other financial instruments, nor constitute any recommendation on our part. The information has been prepared without considering your investment objectives, financial situation, or knowledge and experience. This material is not a research report and is not intended as such. FIS is not responsible for any trading decisions taken based on this communication. Trading swaps and over-the-counter derivatives, exchange-traded derivatives, and options involve substantial risk and are not suitable for all investors. You are advised to perform an independent investigation to determine whether a transaction is suitable for you. No part of this material may be copied or duplicated in any form by any means or redistributed without our prior written consent. Freight Investor Services Ltd (FIS) is authorised and regulated by the Financial Conduct Authority (FRN: 211452) and is a member of the National Futures Association (“NFA”). Freight Investor Services PTE Ltd (‘FIS PTE’) is a private limited company, incorporated and registered in Singapore with company number 200603922G, and has subsidiary offices in India and Shanghai. Freight Investor Solutions DMCC (‘FIS DMCC’) is a private limited company, incorporated and registered in Dubai with company number DMCC1225. Further information about FIS including the location of its offices can be found on our website at www.freightinvestorservices.com