Brent crude futures for May gained 47 cents, or 0.7%, to $69.69 a barrel by 0438 GMT while U.S. West Texas Intermediate crude for April was at $66.10 a barrel, up 49 cents, or 0.8%.
The US stimulus package had sent the global economy into a positive mood in the past week as Biden officially signed it into law, with the weakening dollar pushing oil prices to unprecedented highs – with US crude reaching highs not seen since 2018. However, the oil market was losing some momentum as OPEC revised down its oil demand predictions for Q1 and Q2 by 180,000 b/d and 310,000 b/d, respectively. These revisions are on the basis that the pandemic is still relatively at large, with many restrictions still in place across many key economies such as the US and Europe, with the threat of new variants a key issue in the roadmap out of the pandemic. OPEC expects oil demand to be 96.27 million b/d in 2021, a 220,000 b/d upward revision of its previous forecast in what is still a positive view of the market as the world unlocks. (S&P Global Platts)
The US overtook Saudi Arabia to become the India’s second largest supply of crude oil last month, increasing by 48% to a record 545,300 barrels per day in February and according to Reuters this accounted for 14% of India’s total importation. (Reuters)
The U.S. oil and gas rig count, an early indicator of future output, fell by one to 402 in the week to March 12, according to data on Friday from energy services firm Baker Hughes Co. That count is 390 rigs, or 49%, below this time last year. The oil and gas rig count has increased for the past seven months since dropping to a record low of 244 in August, according to Baker Hughes data going back to 1940. But the pace has declined each month this year, from eight in January to five in February and now zero so far in March. U.S. oil rigs fell one to 309 this week, while gas rigs were unchanged at 92. (Reuters)
On the same topic, JP Morgan has had its say on output of oil in the US, with average output suspected to increase on 2020’s average to reach 11.36 million barrels per day in 2021 as prices recover from record lows because of lockdown hampering demand. (Reuters)
With every day that passes, the situation in Saudi Arabia following the attacks on a key petroleum terminal is getting increasingly fragile with a Saudi-led coalition claiming to have retaliated in destroying an Ansar Allah air defence system in a 32-air strike attack against Houthi Rebels. (Oilprice.com)
INDEX: (MTD Estimates)
* Sing 380: 385.75
* Rott 3.5%: 373.40
* Sing 0.5%: 501.13
* Rott 0.5%: 483.39
Sing VLSFO 0.5% INDIC
Apr-21 513.00 / 515.50
May-21 511.25 / 514.25
Jun-21 509.50 / 512.50
Jul-21 507.25 / 510.75
Aug-21 505.25 / 508.75
Sep-21 503.00 / 507.00
Q2-21 510.25 / 515.25
Q3-21 504.50 / 509.50
Q4-21 498.00 / 503.00
Q1-22 491.25 / 497.25
CAL22 482.50 / 488.50
Rott VLSFO 0.5% INDIC
Apr-21 491.00 / 493.50
May-21 489.50 / 492.50
Jun-21 487.75 / 490.75
Jul-21 485.50 / 489.00
Aug-21 483.25 / 486.75
Sep-21 480.25 / 484.25
Q2-21 488.50 / 493.50
Q3-21 482.50 / 487.50
Q4-21 474.50 / 479.50
Q1-22 466.75 / 472.75
CAL22 457.00 / 463.00
Sing 10ppm GO INDIC
Apr-21 73.54 / 73.66
May-21 73.57 / 73.71
Jun-21 73.53 / 73.69
Jul-21 73.47 / 73.65
Aug-21 73.38 / 73.56
Sep-21 73.25 / 73.45
Q2-21 73.55 / 73.73
Q3-21 73.40 / 73.60
Q4-21 72.85 / 73.09
Q1-22 72.09 / 72.39
CAL22 71.29 / 71.59
ICE Gasoil 10ppm INDIC
Apr-21 553.00 / 554.00
May-21 554.25 / 555.25
Jun-21 554.50 / 555.50
Jul-21 554.00 / 555.50
Aug-21 553.75 / 555.25
Sep-21 553.75 / 555.25
Q2-21 554.00 / 555.00
Q3-21 553.75 / 555.25
Q4-21 550.50 / 552.00
Q1-22 545.25 / 547.75
CAL22 539.75 / 542.75
Sing 380 cst INDIC
Apr-21 398.00 / 399.50
May-21 395.00 / 396.50
Jun-21 391.00 / 393.00
Jul-21 386.50 / 388.50
Aug-21 381.25 / 383.75
Sep-21 376.00 / 378.50
Q2-21 394.25 / 396.75
Q3-21 381.00 / 384.00
Q4-21 366.50 / 369.50
Q1-22 357.50 / 361.00
CAL22 347.25 / 352.25
Rotterdam 3.5% INDIC
Apr-21 384.75 / 386.25
May-21 382.00 / 383.50
Jun-21 377.50 / 379.50
Jul-21 372.25 / 374.25
Aug-21 366.50 / 369.00
Sep-21 360.50 / 363.00
Q2-21 381.00 / 383.50
Q3-21 366.00 / 369.00
Q4-21 348.75 / 351.75
Q1-22 339.00 / 342.50
CAL22 328.50 / 333.50
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