According to the data of SunSirs, the average price of 180CST of domestic fuel oil as of November 29 was 6,642.00 RMB/ ton, down 0.72% from 6,690.00 RMB/ ton at the beginning of the month.
On November 29, the fuel oil commodity index was 134.52, down 0.41 points from the previous day, down 1.75% from the cycle's highest point of 136.91 (2022-11-17), and up 191.93% from the lowest point of 46.08 on August 15, 2016. (Note: Period refers to 2011-09-01 to now)
The domestic 180CST price of fuel oil rose first and then fell last month. The domestic asphalt price continued to decline last month, and the price of ship fuel auxiliary materials declined. The cost support of 180CST fuel oil was limited. According to SunSirs, as of November 29, the price of 180CST self raised low sulfur for fuel oil in the Zhoushan area was 6,650 RMB/ ton, and the price of 120CST self raised low sulfur for fuel oil was 6,750 RMB/ ton; The price of 180CST self raised low sulfur of fuel oil in CNGC Shanghai is 6,730 RMB/ ton, and the price of 120CST self raised low sulfur of fuel oil is 6,830 RMB/ ton.
In November, the trend of international crude oil prices was volatile and downward. The Federal Reserve suggested that the interest rate increase was far from over and was not close to the end of monetary tightening. At present, the interest rate increase of the Federal Reserve has limited impact on inflation, which is not enough to reduce inflation. The Federal Reserve may need to take more tightening measures to curb inflation in the future, which will affect the decline of crude oil prices. The Organization of Petroleum Exporting Countries and its allies (OPEC+) once again lowered the growth expectation of global crude oil demand in 2022. With the risk of global economic recession intensifying, the future slowdown of demand growth is a certainty, and fuel demand will also face pressure. The most important thing is that the overall economy is weak. The severe epidemic situation in Asia continues to drag down demand expectations. The prospect of energy demand is still not optimistic, and economic weakness depresses oil prices.
Singapore's fuel oil inventory decreased, supporting fuel oil prices. It is understood that the Singapore Enterprise Development Board (ESG): As of the week ended November 23, the fuel oil inventory in Singapore fell 1.44 million barrels to a three week low of 19.728 million barrels. Singapore's light distillate oil stocks fell by 188,000 barrels to a more than seven month low of 12.978 million barrels. Singapore's medium distillate oil inventory rose 490,000 barrels to a six week high of 7.388 million barrels.
In November, the international crude oil price fluctuated and fell, the domestic and domestic asphalt prices were weak, and the cost of ship fuel mixing was low. In addition, the logistics was blocked recently, so the ship fuel market was limited in shipping, and downstream just needed to purchase. At present, the 180CST low sulfur market price of fuel oil is about 6,500-6,700 RMB/ ton, and the 120CST low sulfur market price of fuel oil is about 6,600-6,800 RMB/ ton. It is expected that China 180CST market of fuel oil will continue to decline in the near future.
If you have any questions, please feel free to contact SunSirs with support@sunsirs.com.