The Singapore 0.5% VLSFO front-month crack fell about 6% from the previous week, ending at a premium of $8.15 a barrel at the Asia close (0430 GMT) on Thursday.
The market's cash differential was steady at a premium of 25 cents a tonne to Singapore quotes, though multiple offers remained.
Asia's hi-5 rebounded day-on-day after hitting 18-month lows on Wednesday, with the front-month spread widening to $133.50 a tonne on Thursday. Market trends for HSFO and VLSFO have diverged in recent trading sessions, as HSFO held its ground while VLSFO succumbed to downward pressure.
A narrower hi-5 spread, which is the price difference between 0.5% VLSFO and 380-cst HSFO,
could prompt shippers to consider taking less HSFO for bunkering, though the trend has yet to
materialise, trade sources said.
Singapore markets will be closed on Friday due to a public holiday.
OTHER NEWS
- Oil fell on Thursday as weak U.S. economic data raised concerns over a potential global recession and demand reduction, but benchmark prices were headed for a weekly advance after OPEC+ announced further output cuts and U.S. oil stocks dropped.
- Saudi Arabia, world's top oil exporter, raised the prices of its flagship crude for Asian buyers for the third straight month, after major oil producers announced additional output cuts. - Record high imports of crude oil from Russia in fiscal 2022-23 helped India's refiners boost exports of diesel and jet fuel to Europe as the continent shunned Russian products, preliminary ship-tracking data from Kpler and Vortexa showed. - Shell Plc said on Thursday it expects to post an adjusted corporate loss of between $1.2 billion and $0.9 billion for the first quarter, due to one-off tax charges.
WINDOW TRADES - 180-cst HSFO: One trade - 380-cst HSFO: No trade - 0.5% VLSFO: No trade
ASSESSMENTS
FUEL OIL
CASH ($/T) ASIA CLOSE CHANGE PREV CLOSE RIC
Cargo - 0.5% VLSFO 587.48 7.78 579.7 Diff - 0.5% VLSFO 0.25 0.00 0.25 Cargo - 180cst 464.48 -1.33 465.81 Diff - 180cst 1.24 -0.45 1.69 Cargo - 380cst 464.34 -1.14 465.48 Diff - 380cst 7.54 -0.46 8.00 Bunker (Ex-wharf) Premium - 380cst 11.00 0.00 11.00
Bunker (Ex-wharf) Premium - 0.5% VLSFO 8.00 -1.00 9.00
For a list of derivatives prices, including
margins, please double click the RICs below.
Brent M1 180cst M1 180cst M1/M2 180cst M2 Visco M1 Visco M2 380cst M1 380cst M1/M2 380cst M2 Cracks 180-Dubai M1 Cracks 180-Dubai M2 East-West M1 East-West M2 Barges M1 Barges M1/M2 Barges M2 Crack Barges-Brent M1 Crack Barges-Brent M2 (Reporting by Jeslyn Lerh; Editing by Subhranshu Sahu)
