At 10:38 am Singapore time (0238 GMT), the ICE August Brent futures contract was down 65 cents/b (0.90%) from the previous settle at $71.57/b while the NYMEX July light sweet crude contract was down 61 cents/b (0.87%) at $69.35/b.
EIA week ending 6/4
Crude oil: -5.2M
Gasoline: +7.0M
Distillates: +4.4M
Refiner utilz: 91.3%
Impld mogas demand: 8.48Mbpd
Oil futures dipped overnight as a result of the large build on both distillates and gasoline, when Compared to the 5 million barrel draw on crude. The build in gasoline inventories reflected that bullish market expectations after the Memorial Day weekend -typically signalling the start of summer driving season -did not materialize. The key take home from the figures released yesterday was that refiner utilization hit the highest rate in over a year in a sign that the refiners are ramping up production as the expectation for demand for products heats up.
Although the short term looks somewhat bearish, all fundamentals point to a positive summer for oil as vaccines rollout globally are pushing on with record days for bookings in the UK earlier this week, and continuously high inoculation rates across the US and countries in the EU. The market will be eagerly awaiting the fresh pricing prompts that will be brought about with the next IEA June pricing reports. (S&P Global Platts)
Iran is planning a speedy increase in its oil output as talks continue between Tehran and six major powers to lift US sanctions that have seen it pumping far below capacity since 2018. Iran and the six powers have been in talks since April to revive a 2015 nuclear deal that former US President Donald Trump exited three years ago, reimposing sanctions that have hit Iran’s economy by sharply cutting its vital oil exports. (Arab News)
INDEX: (MTD Estimates)
* Sing 380: 393.66
* Rott 3.5%: 381.32
* Sing 0.5%: 514.73
* Rott 0.5%: 494.54
OIL MARKET ROUND-UP:
* Iran Plots Oil Output Hike as It Sees Nuclear Talks Progress
* Iraq Says U.S. Oil Companies Have Important Role in the Country
* Europe’s Fuel Flows to Americas Dip; Gasoline Ship to California
* Overseas Buyers Cooling to Texas Oil as WTI-Brent Narrows
* Benchmark Oil Tanker Rates Nudge Down; U.S.-Europe Earnings Jump
* U.S. Crude Stockpiles Fall, Refinery Runs Improve: EIA Takeaways
* U.S. Commercial Crude Stockpiles at Their Lowest Since February
* U.S. Imports of Mexican Crude Oil Fall 40%: EIA
Rotterdam 3.5% INDIC
Jul21 379.25 / 381.25
Aug21 378.75 / 380.75
Sep21 376.75 / 378.75
Oct21 374.25 / 376.25
Nov21 372.00 / 374.00
Dec21 369.75 / 371.75
Q3-21 378.25 / 380.25
Q4-21 372.00 / 374.00
Q1-22 366.50 / 368.50
Q2-22 360.50 / 363.50
CAL22 356.25 / 359.25
Singapore 380 INDIC
Jul21 390.00 / 392.00
Aug21 390.50 / 392.50
Sep21 390.25 / 392.25
Oct21 389.00 / 391.00
Nov21 387.75 / 389.75
Dec21 386.75 / 388.75
Q3-21 390.25 / 392.25
Q4-21 388.00 / 390.00
Q1-22 383.50 / 385.50
Q2-22 377.75 / 380.75
CAL22 373.50 / 376.50
Rott VLSFO 0.5% INDIC
Jul21 489.75 / 494.75
Aug21 489.25 / 494.25
Sep21 488.75 / 493.75
Oct21 488.00 / 493.00
Nov21 486.75 / 491.75
Dec21 485.50 / 490.50
Q3-21 489.25 / 494.25
Q4-21 486.75 / 491.75
Q1-22 482.25 / 488.25
Q2-22 477.50 / 483.50
CAL22 474.25 / 480.25
Singapore VLSFO 0.5% INDIC
Jul21 508.50 / 513.50
Aug21 508.50 / 513.50
Sep21 508.25 / 513.25
Oct21 507.50 / 512.50
Nov21 506.50 / 511.50
Dec21 505.50 / 510.50
Q3-21 508.25 / 513.25
Q4-21 506.50 / 511.50
Q1-22 502.75 / 508.75
Q2-22 498.00 / 504.00
CAL22 494.75 / 500.75
Sing 10ppm GO INDIC
Jul21 77.70 / 77.84
Aug21 77.53 / 77.73
Sep21 77.36 / 77.56
Oct21 77.18 / 77.38
Nov21 76.89 / 77.09
Dec21 76.57 / 76.77
Q3-21 77.50 / 77.70
Q4-21 76.61 / 76.81
Q1-22 76.20 / 76.40
Q2-22 75.62 / 75.82
CAL22 75.29 / 75.69
Ice Gasoil Swap
Jul21 583.15 / 585.15
Aug21 584.34 / 586.34
Sep21 585.35 / 587.35
Oct21 584.46 / 586.46
Nov21 581.97 / 583.97
Dec21 580.02 / 582.02
Q3-21 584.30 / 586.30
Q4-21 582.15 / 584.15
Q1-22 578.13 / 580.13
Q2-22 573.28 / 575.28
CAL22 573.49 / 576.49
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Email: jarryds@freightinvestor.com
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