At 11:17 am Singapore time (0317 GMT), the ICE Brent June contract was up 27 cents/b (0.41%) from the April 22 settle at $65.67/b, while the June NYMEX light sweet crude contract was 36 cents/b (0.59%) higher at $61.79/b.
A relatively quiet week for news in oil this week with the EIA crude build being a highlight this week after analysts had predicted a 2 million+ draw. Biden announced that he was focusing more on the US’ responsibility towards becoming greener and cutting CO2 emissions and earlier in the week, there were murmurings of a US bill on the OPEC groups handling of oil cuts in order to control prices.
Coronavirus continues to dominate the news globally as India struggles to shake off the virus after having recently left lockdowns, with government re-imposing restrictions after a record rise in cases in a 24 hour period of 315,000 cases. However in Europe, cases seem to be plateauing as the continent seems to be coming out the midst of the pandemic, however the market still remains cautious with the possibility of new variants hampering gains made.
As per the decision made during the April 1 meeting, the producer group OPEC will raise its collective output by 350,000 b/d in May, another 350,000 b/d in June, and 441,000 b/d in July. Saudi Arabia, which is currently in the middle of an additional 1 million b/d cut, will also ease the cut by 250,000 b/d in May, 350,000 b/d in June and 400,000 b/d in July. The OPEC+ coalition is set to meet on April 28 to review the decision made April 1, but analysts expect no change to the impending production increases. (S&P Global Platts)
INDEX: (MTD Estimates)
* Sing 380: 365.58
* Rott 3.5%: 352.59
* Sing 0.5%: 478.14
* Rott 0.5%: 456.57
OIL MARKET ROUND-UP:
* Dirty Oil Flows Into China Pick Up as Tax Rise Plan Poses Risks
* Yemen Houthi Rebels Claim Attack on Aramco Facility in Jazan
* OPEC+ Alliance Said to Hold Full Ministerial Meeting on April 28
* OPEC to Make Case in U.S. Against ‘NOPEC’ Bill: Reuters
* Nine Russian Sokol Crude Cargoes to Be Exported in June: Program
*Rotterdam 3.5% INDIC*
May21 361.00 / 363.00
Jun21 359.75 / 361.75
Jul21 356.25 / 358.25
Aug21 352.00 / 354.00
Sep21 346.75 / 348.75
Oct21 341.00 / 343.00
Q3-21 351.50 / 353.50
Q4-21 336.50 / 338.50
Q1-22 328.50 / 330.50
Q2-22 323.00 / 326.00
CAL22 318.25 / 324.25
*Singapore 380 INDIC*
May21 372.75 / 374.75
Jun21 371.75 / 373.75
Jul21 369.25 / 371.25
Aug21 366.00 / 368.00
Sep21 362.00 / 364.00
Oct21 357.50 / 359.50
Q3-21 365.75 / 367.75
Q4-21 354.50 / 356.50
Q1-22 347.75 / 349.75
Q2-22 342.00 / 345.00
CAL22 337.75 / 343.75
*Rott VLSFO 0.5% INDIC*
May21 458.25 / 463.25
Jun21 457.50 / 462.50
Jul21 456.75 / 461.75
Aug21 455.75 / 460.75
Sep21 454.75 / 459.75
Oct21 453.75 / 458.75
Q3-21 455.75 / 460.75
Q4-21 452.50 / 457.50
Q1-22 448.25 / 454.25
Q2-22 443.25 / 451.25
CAL22 440.75 / 448.75
*Sing VLSFO 0.5% INDIC*
May21 478.00 / 483.00
Jun21 477.25 / 482.25
Jul21 476.50 / 481.50
Aug21 475.75 / 480.75
Sep21 475.00 / 480.00
Oct21 474.25 / 479.25
Q3-21 475.75 / 480.75
Q4-21 473.50 / 478.50
Q1-22 470.25 / 476.25
Q2-22 465.75 / 473.75
CAL22 463.50 / 471.50
*Sing 10ppm GO INDIC*
May21 69.35 / 69.49
Jun21 69.52 / 69.72
Jul21 69.65 / 69.85
Aug21 69.72 / 69.92
Sep21 69.76 / 69.96
Oct21 69.74 / 69.94
Q3-21 69.65 / 69.95
Q4-21 69.51 / 69.81
Q1-22 69.24 / 69.54
Q2-22 68.98 / 69.28
CAL22 68.81 / 69.21
*ICE Gasoil 10ppm INDIC*
May21 520.93 / 524.93
Jun21 522.70 / 526.70
Jul21 523.96 / 527.96
Aug21 525.31 / 529.31
Sep21 526.60 / 530.60
Oct21 526.68 / 530.68
Q3-21 525.30 / 529.30
Q4-21 525.84 / 529.84
Q1-22 524.50 / 528.50
Q2-22 521.18 / 525.18
CAL22 521.50 / 525.50
For more information please contact
FIS Oil Desk
info@freightinvestor.com
UK number: +44 (0) 207 090 1134
Shanghai number: +86 (0)21 63012568
Singapore: +65 87984987
Luke Longhurst
Email: LukeL@freightinvestor.com
Mobile: (+44) 7966 968761
Ricky Forman
Email: RickyF@freightinvestor.com
Mobile: (+44) 7868 708719
Sam Twyford
Email: SamT@freightinvestor.com
Mobile: (+44) 7729 118643
Jessie Deng
Email: jessied@freightinvestor.com
Mobile: (+86)1352 4516743
Jarryd Smith
Email: jarryds@freightinvestor.com
Mobile: (+65) 87984987
The information provided in this communication is not intended for retail clients. It is general in nature only and does not constitute advice or an offer to sell, or the solicitation of an offer to purchase any swap or other financial instruments, nor constitute any recommendation on our part. The information has been prepared without considering your investment objectives, financial situation, or knowledge and experience. This material is not a research report and is not intended as such. FIS is not responsible for any trading decisions taken based on this communication. Trading swaps and over-the-counter derivatives, exchange-traded derivatives, and options involve substantial risk and are not suitable for all investors. You are advised to perform an independent investigation to determine whether a transaction is suitable for you. No part of this material may be copied or duplicated in any form by any means or redistributed without our prior written consent. Freight Investor Services Ltd (FIS) is authorised and regulated by the Financial Conduct Authority (FRN: 211452) and is a member of the National Futures Association (“NFA”). Freight Investor Services PTE Ltd (‘FIS PTE’) is a private limited company, incorporated and registered in Singapore with company number 200603922G, and has subsidiary offices in India and Shanghai. Freight Investor Solutions DMCC (‘FIS DMCC’) is a private limited company, incorporated and registered in Dubai with company number DMCC1225. Further information about FIS including the location of its offices can be found on our website at www.freightinvestorservices.com