- VLSFO prices up in Los Angeles ($26/mt), Zona Comun ($22/mt), New York ($10/mt) and Balboa ($9/mt), and down in Houston ($4/mt)
- LSMGO prices up in Los Angeles ($45/mt), Zona Comun ($18/mt), Balboa ($17/mt) and New York ($16/mt), and down in Houston ($15/mt)
- HSFO prices up in Los Angeles ($12/mt), New York ($11/mt), Balboa ($7/mt) and New York ($6/mt)
Houston’s LSMGO has reversed its gains from the previous session and fallen heavily over the past day. A lower-priced 50-150 mt LSMGO stem for prompt delivery has contributed to drag the port’s benchmark lower. Los Angeles’ LSMGO price has risen more than in other ports in the past day. This has widened Los Angeles’ LSMGO premium over Houston from $9/mt, to $69/mt now.
Brent
The front-month ICE Brent contract has gained $0.94/bbl on the day, to $80.63/bbl at 08.00 CDT (13.00 GMT) today.
Upward pressure:
Brent broke above the $80/bbl mark earlier today as the oil market focused on production cuts from major producers, such as Saudi Arabia and Russia. Additionally, China’s recent pledge to support the country’s economy by driving consumption has boosted Brent. On Wednesday, China’s highest economic planner, National Development and Reform Commission (NDRC), pledged to roll out policies to “stabilize growth in 10 sectors” and “increase support for private firms” in the world’s biggest oil-importing nation, according to a Reuters report.
Downward pressure:
Brent felt some downward pressure as market analysts have raised doubts about Russia’s compliance with oil exports. There are questions whether Russia will follow the export cuts it has announced for August, ING’s head of commodities strategy Warren Patterson argued. Lack of Russia’s compliance with oil export cuts could limit the upside in Brent futures, said OANDA’s market analyst Ed Moya.
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Source: Engineonline
