By Srinivas Chowdary Sunkara // petrobazaar // 13th June, 2019.
Fuel Oil (F.O) futures prices slipped further in Singapore market yesterday. Both the 180 cSt and 380 cSt graded fuel oil prices tumbled $14.5 or 3.43% at $408 and $376 respectively while MGO prices were settled down by $10 yesterday. Fuel oil(F.O) futures slipped around 4% since the beginning of the month. The global crude oil futures prices slumped 4% yesterday after a surprise build in U.S crude and product inventories which indicated bleaker demand. Furnace oil and LDO prices in India are very likely to revise down for the second half of June month.
IMO-2020 News
The Bunker fuel demand for 2018 was 3.5 Mbpd. Analysts forecast demand for IMO-2020 compliant marine fuel should reach between 1.6 Mbpd and 2.7 Mbpd as shippers begin loading storage tanks and clearing vessels of existing bunker fuels. With the rise in demand, those refiners able to produce IMO-2020 compliant fuels reap benefits in terms of a rise in profits as per report said. Analysts reaffirmed that the distillates prices will rise ahead of the global switch to low sulfur bunker fuel.
Disclaimer: Views and opinions expressed here are personal. This commentary is for information purposes only and not an offer or a solicitation to sell or buy any physical commodities or financial instruments. The views and analysis are based on reliable public information available at the time of writing. This report and its content cannot be copied, redistributed or reproduced in part or whole without the prior written permission of petrobazaar.com
IMO news courtesy:ship&bunker
