Asia’s very low sulphur fuel oil (VLSFO) softened Monday as more competitive offers emerged at the start of the new trading week.
Cash differential for 0.5% VLSFO eased at a premium of $5.30 a metric ton, while crack spread closed at a premium of $11.84 a barrel.
More sellers emerged for the September loading laycan in the spot market.
Meanwhile, high sulphur fuel oil started the week on a stable note on thin activity.
The 380-cst HSFO cash differential FO380-SIN-DIF was pegged at a premium of $24.75 a metric ton, though front-month crack firmed to a discount of $3.66 a barrel.
CHINA FUEL OIL DATA
China’s fuel oil imports receded in July as refiners resumed using diluted bitumen after customs authorities eased months-long inspections, which replaced some demand for fuel oil, data from the General Administration of Customs showed on Sunday.
Total fuel oil imports in July were 1.6 million metric tons, versus 2.7 million tons in June, which was a decade-high.
Meanwhile, exports of low-sulphur marine fuels, measured mostly by sales from bonded storage for vessels plying international routes, totalled 1.54 million tons last month, down 20% from June and dipping 3% from a year earlier.
China’s merchandise exports fell 14.5% year-on-year in July, while imports contracted 12.4% in the worst showing for outbound shipments from the world’s second-largest economy since February 2020.
Source: Hellenic Shipping News
