According to the commodity analysis system of SunSirs, the domestic ship fuel market in East China experienced a fluctuating downward trend in October. As of October 31st, the average price of domestic fuel oil at 180CST was 5,400.00 RMB/ton, a decrease of 1.37% from 5,475.00 RMB/ton on October 1st.

In October, the domestic fuel oil price of 180CST fluctuated downward: after the holiday, the price of domestic ship oil blending raw materials fell, and the demand in the terminal shipping market was sluggish. Some ports in the north were affected by extreme weather, and ship owners mainly needed refueling, resulting in a decline in domestic ship oil prices; In the middle of the month, there were many port closures due to strong winds in the north, and some ships' refueling demand moved southward. The rise in domestic freight rates supported the domestic market, and the price of ship fuel increased. However, the price of ship fuel blended raw materials in China fell, and the cost support for ship fuel was limited. Ship prices also fell slightly; The rise in crude oil prices in the latter half of the year supported the domestic ship fuel market, and coupled with the stable prices of domestic ship fuel blended raw materials, downstream coastal shipping market freight rates remained stable, leading to the consolidation of the domestic ship fuel market. According to Business Society, as of October 31st, the self extracted low sulfur quotation for 180cst fuel oil in Dalian area of China National Fuel Oil Corporation is 5,550 RMB/ton, and the self extracted low sulfur quotation for 120cst fuel oil is 5,650 RMB/ton; The self extracted low sulfur quotation for 180cst fuel oil in the Shanghai area of China National Fuel Oil Corporation is 5,300 RMB/ton, and the self extracted low sulfur quotation for 120cst fuel oil is 5,400 RMB/ton.

The international crude oil market fluctuated and declined in October: OPEC+ continued to increase production in the first half of the year, and the situation between Palestine and Israel continued to ease. Coupled with the possibility of new risks posed by US tariffs, international oil prices fell; In the middle of the month, the market is concerned about the risk of oversupply, and the trade dispute triggered by the United States is suppressing demand prospects, leading to a continued decline in international oil prices; In the latter half of the year, the United States imposed new sanctions on Russian oil companies, raising concerns in the market about potential supply risks and leading to an increase in international oil prices.

In terms of international fuel oil, it is reported that the Singapore Enterprise Development Board (ESG) stated that as of the week ending October 29th, Singapore's fuel oil inventories rose by 1.754 million barrels, reaching a two-week high of 24.781 million barrels.

Market forecast: Currently, crude oil has slightly warmed up, increasing the wait-and-see sentiment in the domestic ship fuel market; Shipowners urgently need to replenish oil, and coastal bulk cargo prices remain stable. At present, the self extracted low sulfur quotation for 180cst fuel oil is 5,200-5,550 RMB/ton, and the self extracted low sulfur quotation for 120cst fuel oil is 5,300-5,650 RMB/ton. It is expected that the fuel oil 180CST market will mainly consolidate in the near future.

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