FIS Fuel Oil Morning Report 08/09/21

At 10:40 am Singapore time (0240 GMT), ICE November Brent futures were 2 cents/b (0.03%) higher at $71.71/b while the NYMEX October WTI contract was up 14 cents/b (0.20%) at $68.49/b.

 

Chinese crude imports in August rose 8% on the month to 10.53 million b/d, or 44.53 million mt, according to General Administration of Customs data Sept. 7. It was the first time since April that inflows crossed the 10 million b/d mark, signalling a slowdown of destocking activity in China’s state-owned oil sector. Meanwhile, the damage on oil production facilities in the US Gulf following Hurricane Ida continued to keep output largely halted, limiting price declines. More than a week after Ida made landfall, 1.44 million b/d, or 79.33% of total US Gulf crude output, remained shut in, the Bureau of Safety and Environmental Enforcement said Sept. 7. (S&P Global Platts)

 

Analysts polled by Reuters expect, on average, that crude stocks fell by 3.8 million barrels in the week to Sept. 3, and see gasoline stocks down by 3.6 million barrels and distillates down by 3 million barrels. Oil prices fell on Tuesday in a widespread commodity selloff as the U.S. dollar jumped on worries that rising Covid-19 cases in the United States and Asia will potentially lead to slower growth. (CNBC)

 

Stock data from the American Petroleum Institute is due Sept. 8, having been delayed one day due to the US holiday Sept. 6.

 

In fuel, The tight European high sulfur fuel oil market strengthened further on the day, HSFO crack highest since May. Hi-lo spread widens to $73.25/mt. The widening spread has come towards the end of the summer period during which 1%S fuel oil typically sees support from utility demand for power for air-conditioning.

 

On the 0.5%S marine fuel side, the market continued to expect firmer demand after the typical summer lull period for the bunker fuel market. Supplies have tightened due to refinery maintenance and lower production, market sources said.

 

 

OIL MARKET ROUND-UP:
* Fuel Oil Jumps as Asia Utilities Seek Alternatives to Pricey Gas
* Gasoline Demand Down 0.4%, Falls 6th Straight Week: Descartes

 

Rotterdam 3.5% INDIC                                 

Oct21    391.25   /             393.25

Nov21   383.50   /             385.50

Dec21    377.25   /             379.25

Jan22     373.75   /             375.75

Feb22    371.75   /             373.75

Mar22   369.50   /             371.50

Q4-21    384.00   /             386.00

Q1-22    371.75   /             373.75

Q2-22    366.00   /             368.00

Q3-22    359.75   /             362.75

CAL22    360.75   /             363.75

 

Singapore 380 INDIC                                     

Oct21    416.00   /             418.00

Nov21   403.50   /              405.50

Dec21    395.00   /             397.00

Jan22     390.50   /             392.50

Feb22    388.00   /             390.00

Mar22   385.75   /             387.75

Q4-21    404.75   /             406.75

Q1-22    388.00   /             390.00

Q2-22    381.75   /             383.75

Q3-22    375.75   /             378.75

CAL22    378.25   /             381.25

 

Rott VLSFO 0.5% INDIC                                 

Oct21    497.00   /              502.00

Nov21   494.25   /              499.25

Dec21    491.50   /              496.50

Jan22     488.75   /              493.75

Feb22    486.25   /              491.25

Mar22   483.75   /              488.75

Q4-21    494.25   /              499.25

Q1-22    486.25   /              491.25

Q2-22    478.50   /              484.50

Q3-22    471.75   /              477.75

CAL22    475.25   /              481.25

 

Singapore VLSFO 0.5% INDIC                                     

Oct21    520.75   /              525.75

Nov21   515.50   /              520.50

Dec21    511.50   /              516.50

Jan22     508.75   /              513.75

Feb22    506.00   /              511.00

Mar22   503.50   /              508.50

Q4-21    516.00   /              521.00

Q1-22    506.00   /              511.00

Q2-22    498.00   /              504.00

Q3-22    491.25   /              497.25

CAL22    494.75   /              500.75

 

Sing 10ppm GO INDIC                                   

Oct21    79.12     /              79.26

Nov21   78.65     /              78.85

Dec21    78.23     /              78.43

Jan22     77.95     /              78.15

Feb22    77.72     /              77.92

Mar22   77.55     /              77.75

Q4-21    78.65     /              78.85

Q1-22    77.74     /              77.94

Q2-22    77.30     /              77.50

Q3-22    76.91     /              77.11

CAL22    76.95     /              77.35

 

Ice Gasoil Swap                                               

Oct21    601.00   /              603.00

Nov21   597.50   /              599.50

Dec21    594.47   /              596.47

Jan22     592.75   /              594.75

Feb22    590.82   /              592.82

Mar22   588.47   /              590.47

Q4-21    597.65   /              599.65

Q1-22    590.68   /              592.68

Q2-22    585.68   /              587.68

Q3-22    582.93   /              584.93

CAL22    584.17   /              587.17

 

 

 

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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