At 11:15 am Singapore time (0315 GMT), the ICE December Brent futures contract was down 36 cents/b (0.43%) from the previous close at $84.25/b, while the NYMEX November light sweet crude contract fell 29 cents/b (0.35%) at $82.21/b.
Oil prices came under pressure yesterday, dragged down by the broader weakness seen across the commodities complex. Weaker natural gas and coal prices would have taken away some of the support for the oil market. In addition, comments from the Russian president that OPEC+ was increasing output slightly more than agreed has probably not helped sentiment. However, we continue to believe that with inventories drawing for the remainder of this year, along with OPEC+ taking a cautious approach in increasing output, oil prices will remain well supported for the remainder of this year. (ING)
Oil prices slid after Russia announced the implementation of pandemic-related restrictions in Moscow as COVID-19 infections and deaths have spiked. Russian president Vladimir Putin Oct. 20 approved a “non-working week” from Oct. 30-Nov. 7 to help slow the spread of the virus. “Crude oil prices lost momentum as sentiment was hurt by concerns that the emergence of restrictions and lockdowns in Russia and eastern Europe due to rising coronavirus cases could threaten the global economic recovery and crude oil demand,” ANZ research analysts said Oct 22. (S&P Global Platts)
Analysts added that some investors may be taking the opportunity to buy on weakness as the tightness in the oil market persists amid lower inventories, OPEC+ stance on hold and fuel switching from natural gas. ING research analysts shared this sentiment and highlighted that taking into account inventories drawn for the remainder of this year, along with OPEC+’s cautious approach in increasing output, oil prices will remain well supported for the rest of this year. (S&P Global Platts)
OIL MARKET ROUND-UP:
* Shell May Restart Ida-Hit Oil Platform Earlier Than Expected
* U.S. Oil Hub Draining to Levels Last Seen When Crude Cost $100
* Two Independent Chinese Refiners Buy Prompt Johan Sverdrup Crude
* Oil Barometers: Nearby WTI Spreads Surge to Strongest Since 2018
* Valero Sees Oil Products Demand Boosted by Natgas Surge Overseas
Singapore 380 INDIC
Nov21 460.25 / 462.25
Dec21 459.75 / 461.75
Jan22 458.50 / 460.50
Feb22 457.00 / 459.00
Mar22 455.00 / 457.00
Apr22 452.75 / 454.75
Q1-22 457.00 / 459.00
Q2-22 450.00 / 452.00
Q3-22 441.50 / 443.50
Q4-22 431.50 / 434.50
CAL22 444.50 / 447.50
CAL23 407.00 / 415.00
Rotterdam 3.5% INDIC
Nov21 446.75 / 448.75
Dec21 444.50 / 446.50
Jan22 443.00 / 445.00
Feb22 441.25 / 443.25
Mar22 438.75 / 440.75
Apr22 435.50 / 437.50
Q1-22 441.00 / 443.00
Q2-22 432.25 / 434.25
Q3-22 421.75 / 423.75
Q4-22 410.00 / 413.00
CAL22 426.00 / 429.00
CAL23 384.50 / 392.50
Singapore VLSFO 0.5% INDIC
Nov21 598.50 / 603.50
Dec21 593.50 / 598.50
Jan22 588.50 / 593.50
Feb22 584.00 / 589.00
Mar22 579.75 / 584.75
Apr22 575.25 / 580.25
Q1-22 584.25 / 589.25
Q2-22 571.25 / 576.25
Q3-22 558.50 / 564.50
Q4-22 547.00 / 553.00
CAL22 565.00 / 571.00
CAL23 518.75 / 527.75
Rotterdam VLSFO 0.5% INDIC
Nov21 576.25 / 581.25
Dec21 570.75 / 575.75
Jan22 566.25 / 571.25
Feb22 561.75 / 566.75
Mar22 557.50 / 562.50
Apr22 553.25 / 558.25
Q1-22 562.00 / 567.00
Q2-22 549.00 / 554.00
Q3-22 536.25 / 542.25
Q4-22 524.75 / 530.75
CAL22 542.75 / 548.75
CAL23 498.00 / 507.00
Sing 10ppm GO INDIC
Nov21 95.10 / 95.24
Dec21 94.11 / 94.31
Jan22 93.28 / 93.48
Feb22 92.53 / 92.73
Mar22 91.80 / 92.00
Apr22 91.06 / 91.26
Q1-22 92.55 / 92.75
Q2-22 90.38 / 90.58
Q3-22 88.50 / 88.70
Q4-22 87.05 / 87.25
CAL22 89.52 / 89.92
CAL23 83.12 / 83.52
Ice Gasoil Swap
Nov21 719.79 / 721.79
Dec21 713.49 / 715.49
Jan22 707.12 / 709.12
Feb22 700.79 / 702.79
Mar22 694.06 / 696.06
Apr22 687.65 / 689.65
Q1-22 700.65 / 702.65
Q2-22 683.38 / 685.38
Q3-22 671.68 / 673.68
Q4-22 660.57 / 662.57
CAL22 678.57 / 681.57
CAL23 633.88 / 637.88
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