SINGAPORE, Jan 27 (Reuters) - Asia's diesel markets were little changed against a backdrop of prevailing thin window trading activity, with some February sales still ongoing by the sidelines.
A handful of February spot cargoes were still readily available for end-month loading from northeast Asia, with discussions underway and mostly remaining in the discounted territory.
Earlier support from ICE gasoil futures dissipated slightly, weighing on paper markets, though the east-west price spreads narrowed slightly to discounts of $44 per metric ton.
Refining margins GO10SGCKMc1 eased back to one-week lows of around $20.85 a barrel, reversing most of previous sessions' gains.
Cash differentials GO10-SIN-DIF were rolled over at premiums of 29 cents a barrel, given little changes in the paper market structure and persistently thin spot activity.
Meanwhile, more jet fuel cargoes were seemingly available from a handful of regional refiners for end-February shipment, as traders turned cautious on the supply side.
However, heating demand fundamentals were still firm in some regions experiencing colder than expected weather, capping overall weakness though diesel still remains firmer in comparison, one trade source said.
Regrade JETREG10SGMc1 held its ground and fluctuated at discounts of 60-70 cents a barrel.
SINGAPORE CASH DEALS O/AS
- No deal for gasoil or jet fuel
INVENTORIES
- U.S. crude oil and gasoline stockpiles were expected to have risen last week, while distillate inventories likely fell, a preliminary Reuters poll showed on Monday. EIA/S
NEWS
- U.S. oil producers lost up to 2 million barrels per day, or up to 15%, of the country's production over the weekend, analysts and traders estimated, as a winter storm swept across the country, straining energy infrastructure and power grids.
- Indian oil refiners are only being offered small volumes of Venezuelan crude as most supply is heading to the United States, four refining executives said on Tuesday, slowing the return of the South American supply to the world's third-largest importer.
- State-owned PetroChina has told its traders not to buy or trade Venezuelan crude since Washington took control of the OPEC producer's oil exports this month, two trading executives familiar with the situation said.
- The head of Abu Dhabi National Oil Company (ADNOC) said global oil demand will remain above 100 million barrels per day through 2040, while demand for both liquefied natural gas $(LNG)$ and electricity will grow by 50% or more.
PRICES
MIDDLE DISTILLATES | ||||
CASH ($/BBL) | ASIA CLOSE | Change | Prev Close | RIC |
Spot Gas Oil 0.25% | 83.80 | -1.74 | 85.55 | GO25-SIN |
GO 0.25 Diff | 0.03 | 0.00 | 0.03 | GO25-SIN-DIF |
Spot Gas Oil 0.05% | 83.84 | -1.74 | 85.59 | GO005-SIN |
GO 0.05 Diff | 0.07 | 0.00 | 0.07 | GO005-SIN-DIF |
Spot Gas Oil 0.001% | 84.06 | -1.74 | 85.81 | GO10-SIN |
GO 0.001 Diff | 0.29 | 0.00 | 0.29 | GO10-SIN-DIF |
Spot Jet/Kero | 83.86 | -1.72 | 85.58 | JET-SIN |
Jet/Kero Diff | 0.74 | 0.01 | 0.73 | JET-SIN-DIF |
For a list of derivatives prices, including margins, please double click the RICs below. | ||||
Brent M1 | BRENTSGMc1 | |||
Gasoil M1 | GOSGSWMc1 | |||
Gasoil M1/M2 | GOSGSPDMc1 | |||
Gasoil M2 | GOSGSWMc2 | |||
Regrade M1 | JETREGSGMc1 | |||
Regrade M2 | JETREGSGMc2 | |||
Jet M1 | JETSGSWMc1 | |||
Jet M1/M2 | JETSGSPDMc1 | |||
Jet M2 | JETSGSWMc2 | |||
Gasoil 500ppm-Dubai Cracks M1 | GOSGCKMc1 | |||
Gasoil 500ppm-Dubai Cracks M2 | GOSGCKMc2 | |||
Jet Cracks M1 | JETSGCKMc1 | |||
Jet Cracks M2 | JETSGCKMc2 | |||
East-West M1 | LGOAEFSMc1 | |||
East-West M2 | LGOAEFSMc2 | |||
LGO M1 | LGOAMc1 | |||
LGO M1/M2 | LGOASPDMc1 | |||
LGO M2 | LGOAMc2 | |||
Crack LGO-Brent M1 | LGOACKMc1 | |||
Crack LGO-Brent M2 | LGOACKMc2 | |||
(Reporting by Trixie Yap; Editing by Shailesh Kuber)
((trixie.yap@thomsonreuters.com;))
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