VLSFO (very low sulfur fuel oil) spot premiums continued to dip to three months low on Friday. Spot markets are getting weighed on by ample prompt supply in the market. The cash premiums for SG-VLSFO pegged below $4.5 per mt. Backwardation curve get narrowed at the prompt trading months.
HSFO (High Sulphur Fuel oil) 380 cSt cash premiums held to current levels. Heavy incoming cargo arrivals into Dec month capped the gains. The hi-5 fuel oil spread narrowed for the 3rd consecutive week as per data.
Turning to other markets, Crude prices are in green. Escalation of tensions between Russia and Ukraine and demand boost from Asia are the positive factors. FO prices in India may go down while LDO prices will witness little change as on 1st Dec, 2024.
