The Bunker Review is contributed to IAA PortNews by Marine Bunker Exchange (MABUX)
The US Federal Reserve to reduce its monetary stimulus program on Wednesday gained a lot of attention, but it also turned out to be a non-event oil price wise. Traders have had plenty of time to prepare for the Fed’s move as the economic data came out from the US. The reduction on stimulus will be very slow and it is expected to take the whole of next year and could even spill over into 2015. The decision was also tempered by the Fed’s suggestion that its key interest rate would stay near zero even longer than previously promised, well over another year.
The US Energy Information Administration (IEA) released on Tuesday an early version of its annual Energy Outlook for 2014. The main item being that the US will continue to develop its own oil and to press for more efficient cars and buildings to require less heating in order to reduce demand on oil. The US will undoubtedly become less dependent on foreign oil, while this new development will no doubt be welcomed by most Americans fed up with the stagnation of violence that is common in the Middle East. This news give hopes that the United States will be less dependent on that turbulent part of the world for its fuel, and less involved the region’s unstable politics.
On Wednesday inventories report showing stock draws for the third week in a row, and a big, unexpected fall in distillates stocks. This leant support to crude oil prices. Oil prices are expected to remain range-bound for the rest of the year. Light Crude Oil (WTI) is expected between $95 - $99 a barrel for the rest of year. Brent Crude Oil also remains elevated at just under $110 a barrel because of continued Libyan outages. Export has fallen to 110.000 barrels a day from more than 1 million barrels in July.
|
Product |
380 cSt HSFO |
380 cSt LSFO |
|
|
|
|
|
Rotterdam 2013-12-19 |
582 |
619 |
|
Rotterdam 2012-12-19 |
580 |
614 |
|
|
|
|
|
Gibraltar 2013-12-19 |
599 |
649 |
|
Gibraltar 2012-12-19 |
597 |
645 |
|
|
|
|
|
St Petersburg 2013-12-19 |
400 |
460 |
|
St Petersburg 2012-12-19 |
510 |
570 |
|
|
|
|
|
Panama Canal 2013-12-19 |
613 |
682 |
|
Panama Canal 2012-12-19 |
643 |
776 |
|
|
|
|
|
Busan 2013-12-19 |
653 |
723 |
|
Busan 2012-12-19 |
624 |
765 |
|
|
|
|
|
Fujairah 2013-12-19 |
607 |
730 |
|
Fujairah 2012-12-19 |
603 |
- |
All prices stated in USD / Mton
All time high Brent = $147.50 (July 11, 2008)
All time high Light crude (WTI) = $147.27 (July 11, 2008)
|
Product |
Close Dec. 18 |
|
Light Crude Oil (WTI) |
$97,80 |
|
Brent Crude Oil |
$109,63 |