Brent crude futures fell 73 cents, or 1.1%, to $67.98 a barrel at 0452 GMT. It settled 1.1% lower on Tuesday after briefly climbing above $70 earlier in the session. U.S. West Texas Intermediate (WTI) crude futures dropped 77 cents, or 1.2%, to $64.72 a barrel, following a 1.2% fall on Tuesday.
API
Crude +0.620M
Cushing +0.053M
Gasoline -2.837M
Distillate -2.581M
Brent crude fell by over 3% at 1700BST yesterday as the news filtered through the market that there was an announcement due with regards to a nuclear deal brokered between Iran and the US which some are pointing out that the oil market may see even more supply coming back online from Iran after sanctions may be lifted. According to sources, the announcement is due today which should clarify the situation. Prices were unable to close above $70 yesterday as a result of the news that shocked the market, with Brent not closing above $70 since May 2019. (Bloomberg)
In Europe and Asia, fuel oil prices and cracks for both Very Low Sulphur Fuel Oil (VLSFO) and HSFO continue to drop and have tumbled significantly last week. Oversupply and weak demand sentiment for both grades have weighed on prices. Exports from Europe to other global regions (excluding intra-European flows) rebounded last week compare to low volumes the previous week. (Reuters)
API figures released late last night showed a 0.6 million barrel build on crude which was smaller than expected, but the key points were the 2.8 million barrel draw on gasoline and 2.5 million barrel draw on distillates. The market awaits the EIA figures due to be released today at 1530BST.
INDEX: (MTD Estimates)
* Sing 380: 379.19
* Rott 3.5%: 368.41
* Sing 0.5%: 491.95
* Rott 0.5%: 478.23
OIL MARKET ROUND-UP:
* Colonial Pipeline’s Computer Network Temporarily Goes Dark
* API Reports U.S. Crude Stockpiles Rose 620K Bbl Last Week
* Mega Refiner Rongsheng Buys Another 4M Bbls of Iraq Basrah Crude
* Nigeria in Talks With Shell Over Onshore Divestment Plans
* EIA weekly report on U.S. oil inventories
*Rotterdam 3.5% INDIC*
Jun21 353.75 / 355.75
Jul21 353.75 / 355.75
Aug21 352.75 / 354.75
Sep21 350.00 / 352.00
Oct21 346.00 / 348.00
Nov21 342.00 / 344.00
Q3-21 352.00 / 354.00
Q4-21 342.25 / 344.25
Q1-22 335.75 / 337.75
Q2-22 330.75 / 333.75
CAL22 328.50 / 334.50
*Singapore 380 INDIC*
Jun21 361.75 / 363.75
Jul21 363.00 / 365.00
Aug21 363.25 / 365.25
Sep21 362.50 / 364.50
Oct21 360.00 / 362.00
Nov21 357.50 / 359.50
Q3-21 363.00 / 365.00
Q4-21 358.00 / 360.00
Q1-22 352.50 / 354.50
Q2-22 347.50 / 350.50
CAL22 347.00 / 353.00
*Rott VLSFO 0.5% INDIC*
Jun21 461.75 / 466.75
Jul21 462.75 / 467.75
Aug21 463.75 / 468.75
Sep21 464.00 / 469.00
Oct21 464.00 / 469.00
Nov21 463.50 / 468.50
Q3-21 463.50 / 468.50
Q4-21 463.25 / 468.25
Q1-22 460.00 / 466.00
Q2-22 455.50 / 463.50
CAL22 452.75 / 460.75
*Sing VLSFO 0.5% INDIC*
Jun21 476.50 / 481.50
Jul21 479.50 / 484.50
Aug21 482.00 / 487.00
Sep21 483.50 / 488.50
Oct21 484.00 / 489.00
Nov21 484.00 / 489.00
Q3-21 481.75 / 486.75
Q4-21 484.00 / 489.00
Q1-22 482.50 / 488.50
Q2-22 478.25 / 486.25
CAL22 475.25 / 483.25
*Sing 10ppm GO INDIC*
Jun21 74.42 / 74.56
Jul21 74.25 / 74.45
Aug21 74.13 / 74.33
Sep21 74.01 / 74.21
Oct21 73.86 / 74.06
Nov21 73.60 / 73.80
Q3-21 74.10 / 74.40
Q4-21 73.53 / 73.83
Q1-22 72.80 / 73.10
Q2-22 72.28 / 72.58
CAL22 72.07 / 72.47
*ICE Gasoil 10ppm INDIC*
Jun21 557.21 / 561.21
Jul21 558.48 / 562.48
Aug21 559.30 / 563.30
Sep21 559.90 / 563.90
Oct21 559.10 / 563.10
Nov21 556.71 / 560.71
Q3-21 559.25 / 563.25
Q4-21 556.97 / 560.97
Q1-22 553.13 / 557.13
Q2-22 549.50 / 553.50
CAL22 551.21 / 555.21
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