By Srinivas Chowdary Sunkara // petrobazaar // 25th Sep, 2019.
The Bunker Price Index consist of a range of prices for 180 HSFO, 380 HSFO and MGO(Gasoil) in the main world hubs continued to demonstrate a downward trend with slump of $6.66 in the composite. Fuel oil prices in Singapore market, plunged $26 or 5.22% from previous session. The prices of Fuel oil 180 cSt and 380 cSt grades slumped to $472.5 and $442.5 respectively while MGO prices went down by $5 to $608.5. Meanwhile The world oil prices turned into bearish mood after Trump rekindled the fears of US – China trade war through UN speech.
Mr.Paul Hardy says that the HSFO market remains heavily backwarded into 2020. For those invested in scrubbers HSFO has collapsed into Q1 2020. He cautioned that it needs careful monitoring but never before in the last 30 years. The driver for massive price spikes has been the imbalance between supply and demand where by, storage and barging has been switched to LSFO whilst demand has remained for HSFO.
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