Fuel Oil Price Today as on 5th March, 2025
Fuel oil markets under pressure in Asia. Lackluster demand for marine fuels and plentiful arbitrage supplies weighed on fuel oil prices on Tuesday at Singapore trading window.
VLSFO (very low sulfur fuel oil) spot differential fell into a discount while prompt market structure fell in to contango structure. Contango is the market condition where the price of fuel in the futures is higher than prompt month. The Singapore VLSFO cash differential flipped from a thin premium to a $1.05 per Mt discount. HSFO (High Sulphur Fuel oil) 380 cSt also pared some strength on Tuesday although strong cargo continued to hold for the end of March and early April.
Hi-5 Fuel oil spread is the premium of VLSFO over 380 cSt HSFO.
Turning to other markets, crude markets are moving flat with upside momentum . FO prices likely to decrease while LDO prices likely to revise down for the second half of March.
