Crude OilCovid StatsNaphthaGasolineDisitllatesFuel OilHedge Strategy

Crude prices rose, rebounding from Monday’s drop, as traders kept a close watch on the global pandemic situation.

Brent crude futures gained 84 cents, or 1.3%, to settle at $65.87 a barrel. WTI crude settled up $1.03, or 1.7%, at $62.94.

OPEC+ production quotas will rise a collective 350/350/441 KB/D in May, June and July respectively. Saudi Arabia will also unwind its extra cut by 250/350/400 KB/D in the corresponding periods

api data

The API reported a significant build in crude stocks coupled with draws in product stocks. We will await official data tonight. The key figures to really watch for is the product supply, which is an indication of demand growth.


At a global level, the death toll from the COVID-19 virus rose to 3,148,148 (+14,821 DoD) yesterday. The total number of active cases fell by around 60,000 DoD to 18.71 million. (Click here for details).

Asia’s naphtha crack climbed to $88 per tonne on Tuesday, the strongest since April 16. The naphtha crack was at $80.53 per tonne on Monday.

The May crack is unchanged at $ 0.40 /bbl

Asia’s edged higher to $5.89 per barrel on Tuesday, 3 cents up from a one month-low touched in the previous session.

The May crack is higher at $8.75 /bbl

Click Here for a graphical depiction of Global Gasoline stocks by region.

Asia’s cash differentials for 10 ppm gasoil narrowed further to a discount of 25 cents a barrel to Singapore quotes. They were at a discount of 34 cents to Singapore quotes the previous day.

Cash discounts for jet fuel widened to 18 cents a barrel to Singapore quotes on Tuesday, compared with a 7-cent discount on Monday.

The May crack for 500 ppm Gasoil is lower at $5.60 /bbl with the 10 ppm crack at $ 6.80 /bbl. The regrade is at -$ 0.30 /bbl. 

Click Here for a graphical depiction of Global Distillate stocks by region.

Asia’s front-month VLSFO crack was at a near two-week high of $13.47 per barrel against Dubai crude during Asian trade on Tuesday, up 44 cents from a day earlier.

The May crack for 180 cst FO is lower at  -$3.70 /bbl with the visco spread at $0.80 /bbl.

Click Here for a graphical depiction of Fuel Oil stocks by region.

No fresh action today. 

Hedge recommendations are essentially made for refiners. These are not trading positions as such. The rationale of these positions is to lock in extraordinary levels for the refinery.

Click Here to see how all our recommendations have fared

About this blog

This blog post attempts to give a top level summary of the Singapore market goings on to a person who seeks to obtain a directional sense of the market on a daily basis.

Disclaimer : All the views are the author’s personal views. These do not constitute an advice to buy or sell any commodity

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