Morning Oil Report 11/5/21

U.S. West Texas Intermediate (WTI) crude futures fell 40 cents, or 0.6%, to $64.52 a barrel at 0247 GMT, after gaining 2 cents on Monday. Brent crude futures dropped 45 cents, or 0.7%, to $67.87 a barrel, after climbing 4 cents on Monday

 

Reports of the hacking of the Colonial pipeline ensured that oil softened over the course of yesterday’s trading, with some reports attributing the hackers to the work of Russians. The pipeline is able to transport 2.5 million barrels per day of crude and products. Is it expected that crude oil demand may fall as refineries scale back production in the short term due to the cyber-attack blocking the oil flows from the south of the US to the other states.

 

However it was confirmed yesterday that the group were not interested in causing geopolitical problems, rather acting as ransomware and demanding cash in order to release the pipeline with officials hoping that that largest gasoline pipeline in the US would be back up and running before the end of the week. As a result of the outage, Refineries such as that as Motiva Enterprises LLC 609,000 barrel per day operation in Texas was shut on Sunday, with gasoline prices on course to reach their highest levels since 2014. (Reuters)

 

The new strain of COVID-19 that is sweeping through India is still raising concerns as the WHO have reclassified the variant as one for concern across the whole globe. India recorded a marginally less number of cases in the last 24 hour period yesterday, a sign that the peak of their third wave may have been and gone. (S&P Global Platts)

 

Analysts expect a slight uptick in US refinery utilization to have sent the country’s commercial crude stocks 4.1 million barrels lower in the week ended May 7 to around 481 million barrels. Figures from the API are expected later this evening, with the EIA figures due tomorrow at 1530BST. (S&P Global Platts)

 

 

INDEX: (MTD Estimates)

* Sing 380: 386.03

* Rott 3.5%: 373.20

* Sing 0.5%: 497.57

* Rott 0.5%: 478.20

 

 

*Rotterdam 3.5% INDIC*                                            

Jun21    364.25   /             366.25

Jul21      363.00   /             365.00

Aug21   360.50   /             362.50

Sep21    356.75   /             358.75

Oct21    352.25   /             354.25

Nov21   348.50   /             350.50

Q3-21    360.00   /             362.00

Q4-21    348.75   /             350.75

Q1-22    342.50   /             344.50

Q2-22    337.25   /             340.25

CAL22    334.75   /             340.75

 

*Singapore 380 INDIC*                                

Jun21    374.00   /             376.00

Jul21      374.00   /              376.00

Aug21   373.25   /             375.25

Sep21    371.00   /             373.00

Oct21    368.00   /             370.00

Nov21   365.50   /             367.50

Q3-21    372.75   /             374.75

Q4-21    365.75   /             367.75

Q1-22    361.00   /             363.00

Q2-22    355.50   /             358.50

CAL22    353.75   /             359.75

 

*Rott VLSFO 0.5% INDIC*                                           

Jun21    470.50   /              475.50

Jul21      470.25   /              475.25

Aug21   470.00   /              475.00

Sep21    469.50   /              474.50

Oct21    468.75   /              473.75

Nov21   467.75   /              472.75

Q3-21    470.00   /              475.00

Q4-21    467.75   /              472.75

Q1-22    464.25   /              470.25

Q2-22    459.25   /              467.25

CAL22    456.75   /              464.75

 

*Sing VLSFO 0.5% INDIC*                                            

Jun21    490.75   /              495.75

Jul21      491.75   /              496.75

Aug21   492.25   /              497.25

Sep21    492.25   /              497.25

Oct21    492.00   /              497.00

Nov21   491.50   /              496.50

Q3-21    492.25   /              497.25

Q4-21    491.50   /              496.50

Q1-22    489.25   /              495.25

Q2-22    485.00   /              493.00

CAL22    482.25   /              490.25

 

*Sing 10ppm GO INDIC*                                              

Jun21    73.32     /              73.46

Jul21      73.27     /              73.47

Aug21   73.26     /              73.46

Sep21    73.24     /              73.44

Oct21    73.16     /              73.36

Nov21   72.98     /              73.18

Q3-21    73.20     /              73.50

Q4-21    72.90     /              73.20

Q1-22    72.49     /              72.79

Q2-22    72.16     /              72.46

CAL22    71.94     /              72.34

 

*ICE Gasoil 10ppm INDIC*

Jun21    551.48   /              555.48

Jul21      552.64   /              556.64

Aug21   553.72   /              557.72

Sep21    554.98   /              558.98

Oct21    554.54   /              558.54

Nov21   552.53   /              556.53

Q3-21    553.80   /              557.80

Q4-21    553.13   /              557.13

Q1-22    550.11   /              554.11

Q2-22    546.50   /              550.50

CAL22    548.74   /              552.74

 

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FIS Oil Desk

 

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