Morning Oil Report 27/10/21

At 10:45 am Singapore time (0245 GMT), the ICE December Brent futures contract was down 50 cents/b (0.58%) from the previous close at $85.90/b, while the NYMEX December light sweet crude contract was 60 cents/b (0.71%) lower at $84.05/b after settling at a fresh seven-year high overnight.

 

API

Crude: +2.318 M

Cushing: -3.734 M

Gasoline: +0.530 M

Distillate: +0.986

 

Saudi Aramco raised concerns yesterday that spare oil capacity is falling quickly and that the market could see a deeper deficit next year, particularly if there is a strong rebound in air travel in 2022. However, this view is at odds with what OPEC+ are forecasting for next year. The group expects strong non-OPEC supply growth in 2022, while our balance sheet shows the market returning to surplus in 2Q22. (ING)

 

The API late Oct. 26 reported a 2.32 million-barrel build in US commercial crude oil stockpiles last week, running against expectations for a 100,000-barrel draw. Gasoline inventories meanwhile rose by 530,000 barrels, while distillate stocks climbed by 986,000 barrels. However bearish sentiment was capped by another strong draw in crude oil stocks at the US oil storage hub of Cushing, Oklahoma, which fell 3.73 million barrels in the week, highlighting the ongoing supply tightness in the market. This follows a 2.32 million-barrel draw at Cushing the week before. Investors will look to the US Energy Information Administration’s weekly report due for release later Oct. 27 to confirm the API data. (S&P Global Platts)

 

Despite the inventory builds of the last few weeks, oil inventories in the United States are still down for the year, to the tune of 61 million barrels so far this year, according to API data, and 4 million barrels since the start of 2020. U.S. oil production for the week ending October 15—the last week for which the Energy Information Administration has provided data—slid 100,000 bpd to 11.3 million bpd, and is still 1.8 million bpd below the all-time high of 13.1 million bpd reached right before the pandemic took hold in the United States. (Oilprice.com)

 

Rotterdam 3.5% INDIC                                 

Nov21   446.75   /             448.75

Dec21    445.00   /             447.00

Jan22     444.50   /             446.50

Feb22    443.00   /             445.00

Mar22   440.50   /             442.50

Apr22    437.50   /             439.50

Q1-22    442.75   /             444.75

Q2-22    434.25   /             436.25

Q3-22    423.00   /             425.00

Q4-22    410.00   /             413.00

CAL22    427.25   /             430.25

CAL23    385.75   /              393.75

 

Singapore 380 INDIC                                     

Nov21   460.00   /             462.00

Dec21    460.50   /              462.50

Jan22     460.50   /             462.50

Feb22    459.75   /             461.75

Mar22   458.25   /             460.25

Apr22    456.00   /             458.00

Q1-22    459.50   /             461.50

Q2-22    453.25   /             455.25

Q3-22    444.25   /             446.25

Q4-22    434.00   /             437.00

CAL22    447.50   /             450.50

CAL23    410.00   /             418.00

 

Rott VLSFO 0.5% INDIC 

Nov21   576.25   /              581.25

Dec21    572.00   /              577.00

Jan22     568.00   /              573.00

Feb22    564.00   /              569.00

Mar22   560.00   /              565.00

Apr22    556.00   /              561.00

Q1-22    564.00   /              569.00

Q2-22    552.00   /              557.00

Q3-22    539.50   /              545.50

Q4-22    527.50   /              533.50

CAL22    545.50   /              551.50

CAL23    497.25   /              506.25

 

Singapore VLSFO 0.5% INDIC                                     

Nov21   598.75   /              603.75

Dec21    595.00   /              600.00

Jan22     591.00   /              596.00

Feb22    587.00   /              592.00

Mar22   583.00   /              588.00

Apr22    579.00   /              584.00

Q1-22    587.00   /              592.00

Q2-22    575.00   /              580.00

Q3-22    562.75   /              568.75

Q4-22    551.50   /              557.50

CAL22    568.75   /              574.75

CAL23    521.50   /              530.50

 

Sing 10ppm GO INDIC                                   

Nov21   96.27     /              96.41

Dec21    95.27     /              95.47

Jan22     94.35     /              94.55

Feb22    93.45     /              93.65

Mar22   92.54     /              92.74

Apr22    91.74     /              91.94

Q1-22    93.45     /              93.65

Q2-22    90.98     /              91.18

Q3-22    88.96     /              89.16

Q4-22    87.46     /              87.66

CAL22    90.11     /              90.51

CAL23    83.81     /              84.21

 

Ice Gasoil Swap                                               

Nov21   729.70   /              731.70

Dec21    723.04   /              725.04

Jan22     716.11   /              718.11

Feb22    708.89   /              710.89

Mar22   701.57   /              703.57

Apr22    693.81   /              695.81

Q1-22    708.85   /              710.85

Q2-22    688.97   /              690.97

Q3-22    676.22   /              678.22

Q4-22    669.19   /              671.19

CAL22    685.31   /              688.31

CAL23    644.52   /              648.52

 

 

 

 

 

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