Brent up to $40.11 a barrel by 0503 GMT, gaining 84 cents or 2.1%. U.S. WTI crude was at $37.96 a barrel, up 91 cents, or 2.5%.
US reports over the weekend have been mixed on the health of the President, with his doctors refusing to disclose whether he had been administered oxygen after his admission to the military hospital over the weekend. This follows the news reported that both the President and the First Lady had both contracted the virus which sparked a fall of 5% in the price of Brent late last week. Prices rebounded this morning by 2% on the news that the president could be discharged within the coming days. (Reuters)
Prices were also supported by the Norwegian workers strike over the weekend, that analysts say could affect up to 300,000 barrel of oil per day over pay negotiations. This figure could rise to 8% of total petroleum output from the Norwegian shelf if the strike extends further, causing loss of output. Equinor is expecting to keep output going from the biggest field, even though 43 members have walked out. Norway is Western Europe’s biggest producer of oil and produces up to 2 million bpd. (S&P Global Platts)
Reports over the weekend look at the supply gap that could arise from the lack of investment from oil majors, leaving NOCs to plug the gap between supply and demand over the coming years, as investment into green energies has been accelerated over the pandemic as oil demand has faltered. BP is one of the companies that has decided to shrink investment into oil and gas production over the next decade as it looks to more sustainable options, with companies such as Saudi Aramco and Abu Dhabi National Oil Co. plugging the gap if demand is yet to peak. (S&P Global Platts)
Bunker news coming from the dry bulk shipper Starbulk says the demand in Q4 for bunkers is set to bounce back as we progress into the end of the year, even though demand will be 5-7% lower on the year. The Bunker Director of the company was being interviewed and touched upon how bunker demand is set to recover but the COVID-19 caveat will apply to all projections made going into the new year as spikes in cases and increased lockdown restrictions will negatively impact any gains made. (Ship and Bunker)
MARKETS NEWS:
* Saudi Oil Production Holds Steady in September at 8.97m b/d
* Saudi Arabia Pegs Budget to Oil at Around $50, Goldman Says
* Most U.S. Oil Jobs Lost in Pandemic Won’t Return at These Prices
* ASIA-AMERICAS FUEL: Jet Lifts Flows for Oct.; Sept. Revised Down
* KOREA TANKER TRACKER: Oil Shipped From Saudi-Kuwait Neutral Zone
* Second Storm Sparks Warnings in Caribbean, Seen Heading for Gulf
* Oil Union Threatens to Shut Down 8% of Norway’s Total Output
OTHER NEWS:
* Azerbaijan Says Armenians Fired on Areas Near Capital Baku
* Owner of Singapore’s Sentek Charged Over Receiving Stolen Fuel
PHYSICAL CRUDE NEWS:
* ASIA: Iraq Frets Over Oil Market; Russia Raises Production
* LATAM: Mexico Oil Exports Down; Guyana’s 29 Companies
* US/CANADA: Third Coast Sells Cushing Crude Site to Hartree
* NSEA: Unipec Withdraws Forties Offer; Vitol Keeps Ekofisk
* MED: CPC Flows at 17-Month Low in Sept.; BTC Also Falls
* WAF: Nigeria’s Chevron Unit on Strike; Pertamina Tender
OIL PRODUCT NEWS:
* ASIA: ZenRock Liquidation; Saudi Fuel Oil Purchase
* EUROPE: Flow to Americas Declines; Naphtha Cargo
* U.S.: Chicago Diesel Climbs on Refiner Buying
ECONOMIC DATA/EVENTS:
* China holiday, Monday through Thursday; Australia holiday
OTHER FINANCIAL MARKETS:
* Stocks, Futures Gain on Improving Trump Outlook: Markets Wrap
Singapore VLSFO 0.5% INDIC
Nov-20 303.75 / 307.25
Dec-20 303.00 / 306.50
Jan-20 302.50 / 306.50
Feb-20 302.75 / 307.75
Mar-20 303.75 / 308.75
Apr-20 304.75 / 309.75
Q1-21 302.75 / 307.75
Q2-21 306.00 / 311.00
Q3-21 309.75 / 315.75
Q4-21 313.50 / 319.50
CAL21 307.75 / 313.75
Rott VLSFO 0.5% INDIC
Nov-20 283.75 / 287.25
Dec-20 283.50 / 287.00
Jan-20 283.75 / 287.75
Feb-20 284.25 / 289.25
Mar-20 285.50 / 290.50
Apr-20 287.00 / 292.00
Q1-21 284.25 / 289.25
Q2-21 288.50 / 293.50
Q3-21 292.50 / 298.50
Q4-21 296.50 / 302.50
CAL21 290.25 / 296.25
Sing 10ppm GO INDIC
Nov-20 43.27 / 43.43
Dec-20 43.71 / 43.87
Jan-20 44.14 / 44.34
Feb-20 44.59 / 44.79
Mar-20 45.06 / 45.26
Apr-20 45.56 / 45.76
Q1-21 44.59 / 44.79
Q2-21 45.94 / 46.34
Q3-21 47.31 / 47.71
Q4-21 48.11 / 48.51
CAL21 46.46 / 46.86
ICE Gasoil 10ppm INDIC
Nov-20 323.75 / 324.75
Dec-20 328.25 / 329.25
Jan-20 333.00 / 334.00
Feb-20 337.00 / 338.50
Mar-20 341.25 / 342.75
Apr-20 345.25 / 346.75
Q1-21 337.00 / 350.25
Q2-21 348.25 / 362.00
Q3-21 359.25 / 369.50
Q4-21 366.50 / 377.50
CAL21 352.50 / 355.50
Sing 380 cst INDIC
Nov-20 230.75 / 232.75
Dec-20 232.00 / 234.00
Jan-20 233.75 / 235.75
Feb-20 235.75 / 237.75
Mar-20 237.75 / 239.75
Apr-20 239.50 / 241.50
Q1-21 235.25 / 238.25
Q2-21 240.50 / 244.00
Q3-21 244.75 / 248.75
Q4-21 248.00 / 252.50
CAL21 241.50 / 246.50
Rotterdam 3.5% INDIC
Nov-20 216.25 / 218.25
Dec-20 217.00 / 219.00
Jan-20 219.00 / 221.00
Feb-20 221.00 / 223.00
Mar-20 223.00 / 225.00
Apr-20 225.00 / 227.00
Q1-21 220.50 / 223.50
Q2-21 226.00 / 229.50
Q3-21 229.25 / 233.25
Q4-21 230.75 / 235.25
CAL21 226.00 / 231.00
Sing hi5 Rdam hi5
Nov-20 74.00 68.00
Dec-20 72.00 67.00
Jan-20 70.00 66.00
Feb-20 68.00 65.00
Mar-20 67.00 64.00
Apr-20 67.00 63.00
Q1-21 68.00 65.00
Q2-21 66.00 63.00
Q3-21 66.00 64.00
Q4-21 66.00 66.00
Cal 21 67.00 65.00
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