Asia’s Very Low Sulphur Fuel Oil (VLSFO) benchmarks inched lower on Monday, retaining downside risks along with bunker fuel premiums which were near year-to-date lows, trade sources said.
Cash premium for VLSFO was pegged at a premium of $4.26 a metric ton, slightly lower from last week.
Meanwhile, delivered bunker premiums for VLSFO softened to about $10 a ton recently on tepid demand, hitting year-to-date lows, said sources.
The crack spread for VLSFO has also weakened, remaining at premiums below $8 a barrel on Monday, based on LSEG data.
In contrast, High Sulphur Fuel Oil (HSFO) benchmarks were able to hold their ground in the second quarter so far on the back of seasonal demand.
Cash premium for 380-cst HSFO held stable at about $10 a ton, while cracks closed higher versus last week, hitting discounts of about $5 a barrel on Monday, showed LSEG data.
Source: Hellenic Shipping News
