Global bunker prices are rising today after dropping to monthly lows last Friday.
Changes in the day to 08.00 GMT today:
- VLSFO prices up in Singapore ($12/mt), Gibraltar and Houston ($9/mt), Rotterdam ($8/mt) and Fujairah ($4/mt)
- LSMGO prices up in Fujairah ($19/mt), Houston ($9/mt), Rotterdam ($4/mt), Singapore ($3/mt) and steady in Gibraltar
- HSFO380 prices up in Singapore ($10/mt), steady in Fujairah, Gibraltar and Rotterdam, and down in Houston ($9/mt)
Singapore’s Hi5 spread has partly rebounded today, after falling below $100/mt last week tracking downwards Brent prices. The bunkering hub’s sulphur spread has now added $2/mt from Friday’s levels, as both fuel grades have seen similar gains.
Similarly, the price difference between HSFO380 and VLSFO has also widened in Houston and Rotterdam closing into Singapore’s levels.
HSFO380 remains tight in US Gulf ports and particularly in Houston, while VLSFO and LSMGO are more readily available.
Lead times are steady Singapore and Fujairah this week. VLSFO requires up to 8-9 days in both ports, while shorter lead times are recommended for HSFO380 stems at 7-8 days ahead in Fujairah and Singapore.
Fuel availability remains good in Gibraltar, while there are currently three vessels waiting to bunker in Gibraltar either due to a lack of free space in the port or for bunker barges to become ready, according to port agent MH Bland. There is no backlog in Algeciras nor Ceuta.
Brent
Front-month ICE Brent has lost just $0.20/bbl from Friday’s levels to 08.00 GMT today, reaching $66.46/bbl.
The futures contract dropped to its lowest levels since May last Friday, as Brent came under more pressure on the back of surging Covid-19 cases and a stronger dollar.
Brent has since slightly rebounded and trading above $67/bbl finding support in a weaker dollar, and as Delta variant cases continue to rise globally and weigh down on oil demand hopes.