Bunker prices to remain firm next week, expert says
The Bunker Review is contributed to IAA PortNews by the market expert Marine Bunker Exchange
West Texas Intermediate rose to its highest level in four weeks as cold weather in the US boosted demand for heating oil and inventories shrank by 4.6 million barrels last week, according to the EIA (Energy Information Administration). Above figures are in comparison with Bloomberg’s estimation of 2.6 million barrels. Demand for distillates, which include heating oil, surged to the highest level in almost six years amid colder weather in the US.
WTI slipped Wednesday as the Federal Reserve said it would continue stimulus cuts. The Federal Open Market Committee said it will cut monthly bond purchases by $10 billion to $65 billion. The labor market’s indicators show further improvement for demand of labor due to economic growth.
A Chinese Purchasing Managers’ Index fell to 49.5 from 50.5 in December, HSBC Holdings Plc and Market Economics said in a statement on Thursday. The reading compared with the median 49.6 estimate in a Bloomberg News survey of 14 economists. A number below 50 indicates contraction.
Iraq is returning to an energy market which is radically different than the one it was forced to leave years ago, and its OPEC partners now also have a different view on Iraq’s participation. After decades of wars and sanctions, Iraq has firmly re-established itself among the world’s top oil producers. Sound investments in the energy sector have boosted Iraq’s oil production to well over 3 million barrels per day as of end of 2013. Iraq has the potential to increase its production to 9 million barrels per day by 2020, which is close to what Saudi Arabia or Russia are currently producing.
We expect oil prices to be stable for the coming week.
|
Product |
380 cSt HSFO |
380 cSt LSFO |
|
|
|
|
|
Rotterdam 2014-01-30 |
575 |
610 |
|
Rotterdam 2013-01-30 |
618 |
649 |
|
|
|
|
|
Gibraltar 2014-01-30 |
610 |
663 |
|
Gibraltar 2013-01-30 |
635 |
695 |
|
|
|
|
|
St Petersburg 2014-01-30 |
390 |
420 |
|
St Petersburg 2013-01-30 |
525 |
585 |
|
|
|
|
|
Panama Canal 2014-01-30 |
602 |
695 |
|
Panama Canal 2013-01-30 |
648 |
745 |
|
|
|
|
|
Busan 2014-01-30 |
650 |
715 |
|
Busan 2013-01-30 |
664 |
834 |
|
|
|
|
|
Fujairah 2014-01-30 |
616 |
- |
|
Fujairah 2013-01-30 |
633 |
740 |
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 Jan. 29 |
|
Light Crude Oil (WTI) |
$97,36 |
|
Brent Crude Oil |
$107,85 |