Brent oil Dec futures rise $2.99 or 5 pct to $65.58 a barrel on London based ICE Futures Europe Exchange while WTI dec oil futures prices went up $4.15 or 7.25 pct to $61.39 a barrel on Nymex at the time of reporting. Both the benchmarks are trading up as the U.S sanctions on Rosneff and Likeoil spilled over supply fears across. Prompt Brent futures price structure shifted to Backwardation as the current month futures are trading at premium over later month. On the demand side, U.S Crude and product stocks drawings extended support to oil complex. Uncertainty prevailed over developments in geo-politics.

Fuel oil markets are moving flat. Both VLSFO and HSFO prompt month market structure held in contango due to hefty inflex of fuels oil. Inter month spreads are sliding further over ample supplies, more expecting from western arbitrage. Furnace oil and LDO prices are expected to go down for the second half of Oct.