At 11:00 am Singapore time (0300 GMT), the ICE August Brent futures contract was down 8 cents/b (0.11%) from the previous settle at $75.48/b while the NYMEX August light sweet crude contract was down 6 cents/b (0.08%) at $73.30/b.
There seems to be a multitude of factors that are propping up the oil market at present, with the announcement of new infrastructure spending I the US providing even more bullish signals for crude. A bipartisan agreement has been reached on a $973 billion infrastructure plan, which includes more than half a trillion dollars of new spending. The announcement led to higher risk appetite in the broader financial markets. (S&P Global Platts)
The general outlook for crude does look rosy as the continued work with the rollout of vaccines continue across the globe, with demand set to continue to ramp up as global mobility increases. OPEC+ is currently holding crude production at 6.2 million b/d below October 2018 levels and intends to taper this output cut to 5.76 million b/d in July. OPEC+ alliance’s July 1 meeting is expected to provide guidance into output levels for August, and while reports have emerged that the coalition is considering tapering its production quota, most analysts expect a tempered rise of around 500,000 b/d. (S&P Global Platts)
INDEX: (MTD Estimates)
* Sing 380: 401.53
* Rott 3.5%: 389.10
* Sing 0.5%: 520.19
* Rott 0.5%: 501.64
Singapore 380 INDIC
Jul21 417.00 / 419.00
Aug21 416.25 / 418.25
Sep21 414.25 / 416.25
Oct21 411.75 / 413.75
Nov21 409.50 / 411.50
Dec21 407.25 / 409.25
Q3-21 415.75 / 417.75
Q4-21 409.50 / 411.50
Q1-22 402.50 / 404.50
Q2-22 395.25 / 398.25
CAL22 391.50 / 394.50
Rotterdam 3.5% INDIC
Jul21 403.75 / 405.75
Aug21 402.50 / 404.50
Sep21 399.25 / 401.25
Oct21 396.00 / 398.00
Nov21 393.00 / 395.00
Dec21 390.00 / 392.00
Q3-21 401.75 / 403.75
Q4-21 393.00 / 395.00
Q1-22 385.25 / 387.25
Q2-22 377.25 / 380.25
CAL22 373.00 / 376.00
Singapore VLSFO 0.5% INDIC
Jul21 532.75 / 537.75
Aug21 532.75 / 537.75
Sep21 532.00 / 537.00
Oct21 531.00 / 536.00
Nov21 529.75 / 534.75
Dec21 528.50 / 533.50
Q3-21 532.50 / 537.50
Q4-21 529.75 / 534.75
Q1-22 524.50 / 530.50
Q2-22 518.00 / 524.00
CAL22 514.25 / 520.25
Rott VLSFO 0.5% INDIC
Jul21 514.75 / 519.75
Aug21 513.50 / 518.50
Sep21 512.25 / 517.25
Oct21 511.00 / 516.00
Nov21 509.50 / 514.50
Dec21 507.75 / 512.75
Q3-21 513.50 / 518.50
Q4-21 509.50 / 514.50
Q1-22 503.25 / 509.25
Q2-22 496.25 / 502.25
CAL22 492.25 / 498.25
Sing 10ppm GO INDIC
Jul21 80.58 / 80.72
Aug21 80.60 / 80.80
Sep21 80.55 / 80.75
Oct21 80.37 / 80.57
Nov21 80.05 / 80.25
Dec21 79.72 / 79.92
Q3-21 80.55 / 80.75
Q4-21 80.05 / 80.25
Q1-22 79.32 / 79.52
Q2-22 78.61 / 78.81
CAL22 78.23 / 78.63
Ice Gasoil Swap
Jul21 605.57 / 607.57
Aug21 606.98 / 608.98
Sep21 607.77 / 609.77
Oct21 606.81 / 608.81
Nov21 604.25 / 606.25
Dec21 602.45 / 604.45
Q3-21 606.75 / 608.75
Q4-21 604.50 / 606.50
Q1-22 600.08 / 602.08
Q2-22 593.06 / 595.06
CAL22 591.54 / 594.54
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Email: jarryds@freightinvestor.com
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