At 11:12 am Singapore time (0312 GMT), the ICE August Brent futures contract was up 50 cents/b (0.69%) from the previous settle at $72.72/b while the NYMEX July light sweet crude contract was up 47 cents/b (0.67%) at $70.52/b.
Both contracts touched multiyear highs June 4 before settling lower. The ICE Brent contract last settled higher at $71.97/b on May 20, 2019, while the NYMEX light sweet crude contract was last higher at $69.49/b on July 19, 2018, S&P Global Platts data showed.
API
Crude -2.108M
Cushing -0.420M
Gasoline +2.405M
Distillate +3.752M
Oil complexes continue to rise with support from the EIA report which has confirmed a demand-led recovery from the Coronavirus as declining inventories in the US demonstrate the growing appetite for movement as driving season approaches. The declining inventories on Crude were met with builds on gasoline and distillates overnight as the API released figures which showed of a 2 million barrel draw on the crude but over 5 million barrel combined builds on the gasoline and distillates. (S&P Global Platts)
In fuel yesterday, it was a very similar story across the cracks and Fogo markets, as the market saw softening on the cracks throughout the day on both the front month and cal22, with the Sing and Rott Fogo weakening through Tuesday with an aggressive sell off during the afternoon window, which saw levels close at -88.25 and -64.5, respectively. On Wednesday morning, the front barges crack opened at -11.00.
INDEX: (MTD Estimates)
* Sing 380: 393.07
* Rott 3.5%: 381.17
* Sing 0.5%: 513.92
* Rott 0.5%: 494.46
OIL MARKET ROUND-UP:
* India Oil Refiners Shut for Work Before Likely Demand Pickup
* API Reports U.S. Crude Stockpiles Dropped 2.11M Bbl Last Week
* EIA Lowers 2022 Forecasts for Brent and WTI on More OPEC Supply
* EIA Lowers 2022 U.S. Crude Output Forecast to 11.79m b/d
* U.S. Gasoline Demand Slips 1.8% in Memorial Day Week: Descartes
* Benchmark Oil Tanker Losses Deepen; Europe-U.S. Route Drops
*Rotterdam 3.5% INDIC*
Jul21 387.25 / 389.25
Aug21 386.75 / 388.75
Sep21 384.25 / 386.25
Oct21 381.50 / 383.50
Nov21 378.75 / 380.75
Dec21 376.50 / 378.50
Q3-21 386.25 / 388.25
Q4-21 379.00 / 381.00
Q1-22 373.25 / 375.25
Q2-22 367.25 / 370.25
CAL22 358.00 / 364.00
*Singapore 380 INDIC*
Jul21 398.75 / 400.75
Aug21 399.50 / 401.50
Sep21 398.75 / 400.75
Oct21 397.25 / 399.25
Nov21 395.75 / 397.75
Dec21 394.50 / 396.50
Q3-21 399.00 / 401.00
Q4-21 395.75 / 397.75
Q1-22 391.25 / 393.25
Q2-22 384.75 / 387.75
CAL22 376.00 / 382.00
*Rott VLSFO 0.5% INDIC*
Jul21 498.25 / 503.25
Aug21 497.50 / 502.50
Sep21 496.75 / 501.75
Oct21 495.50 / 500.50
Nov21 494.25 / 499.25
Dec21 492.50 / 497.50
Q3-21 497.50 / 502.50
Q4-21 494.25 / 499.25
Q1-22 489.00 / 495.00
Q2-22 482.75 / 490.75
CAL22 479.50 / 487.50
*Sing VLSFO 0.5% INDIC*
Jul21 518.75 / 523.75
Aug21 518.50 / 523.50
Sep21 518.25 / 523.25
Oct21 517.50 / 522.50
Nov21 516.50 / 521.50
Dec21 515.25 / 520.25
Q3-21 518.50 / 523.50
Q4-21 516.50 / 521.50
Q1-22 512.50 / 518.50
Q2-22 506.75 / 514.75
CAL22 503.25 / 511.25
*Sing 10ppm GO INDIC*
Jul21 78.48 / 78.62
Aug21 78.30 / 78.50
Sep21 78.14 / 78.34
Oct21 77.99 / 78.19
Nov21 77.73 / 77.93
Dec21 77.44 / 77.64
Q3-21 78.25 / 78.55
Q4-21 77.67 / 77.97
Q1-22 77.04 / 77.34
Q2-22 76.47 / 76.77
CAL22 76.02 / 76.42
*ICE Gasoil 10ppm INDIC*
Jul21 587.98 / 591.98
Aug21 589.30 / 593.30
Sep21 590.26 / 594.26
Oct21 589.42 / 593.42
Nov21 586.89 / 590.89
Dec21 585.07 / 589.07
Q3-21 589.20 / 593.20
Q4-21 587.12 / 591.12
Q1-22 582.98 / 586.98
Q2-22 576.12 / 580.12
CAL22 575.15 / 579.15
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