:: Bunkering --- ID :: 16464
Bunkering News // 09-08-2019
Singapore Fuel oil (F.O) futures continued to drop further

By Srinivas Chowdary Sunkara // petrobazaar // 9th August, 2019.

The World Bunker Index consist of a range of prices for 380 HSFO, 180 HSFO and MGO ( Gasoil) continued downward evolution yesterday. In Singapore, Both the 180 cSt and 380 cSt graded Fuel oil (F.O) futures prices plunged $18 or 4.52% to $380 and $350 respectively while MGO futures prices dropped by $12.5 to $547.5 and MGO(LS) futures closed $15 lower at $552.5 during the last session. The world crude benchmark futures rebounded above 2% from previous session loss as a normal correction from short term oversold condition.


U.S refiners feel the heat of the news sulfur emission rules of the International Maritime Organisation which will enter into effect next January. Narrowing the spread between heavy sour crude and light sweet crude resulting from supply crunch in the latter has pressurized the refiner's margins. Analysts are in the opinion that the pressure is temporary and spread will be widening after IMO 2020 rules enter into effect.

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