Americas bunker prices have mostly been rangebound in the past day, but LSMGO has gotten pricier in Balboa.

PHOTO: Container vessel sailing in front of the Statue of Liberty. Port of New York and New Jersey

Changes on the day to 08.00 CDT (13.00 GMT) today:

• VLSFO prices up in New York ($7/mt), Balboa and Zona Comun ($5/mt) and Houston ($2/mt), and down in Los Angeles ($2/mt)
• LSMGO prices up in Balboa ($20/mt) and New York ($4/mt), and down in Los Angeles ($4/mt) and Houston ($2/mt)
• HSFO prices up in Houston ($6/mt), Balboa ($4/mt) and New York ($1/mt), and down in Los Angeles ($5/mt)

New York’s Hi5 spread has widened by $6/mt in the past day, but it is still narrow relative to other ports, at just $26/mt. HSFO availability continues to be tight among several suppliers in the port, especially for prompt deliveries.

LSMGO has become more expensive in Balboa after a prompt 0-50 mt stem was fixed significantly above where the benchmark price stood yesterday. Its price has now moved up to parity with that in Los Angeles, where it fell slightly in the past day.

Bunkering was held up by winds in Zona Comun this morning local time. At least one bunker vessel has been prevented from coming alongside a receiving vessel because of winds and choppy waters. The weather is forecast to calm, before winds are set to intensify and be strong over most of the weekend.

Brent

The front-month ICE Brent contract has moved $1.87/bbl higher on the day, to trade at $71.27/bbl at 08.00 CDT (13.00 GMT) today.

Upward pressure:

Brent crude’s price moved higher after the US Energy Information Administration (EIA) reported a draw in US crude stocks. Commercial crude oil inventories in the country dropped by 515,000 bbls to touch 426 million bbls for the week ending 25 October, the EIA reported.

A drop in US crude stocks indicates growth in oil demand, which can put upward pressure on Brent’s price. Sentiment in the crude oil market was supported by an “expected drawdown in US inventories,” ANZ Bank’s senior commodity strategist Daniel Hynes remarked.

On the supply front, attention is likely to shift back to OPEC, which is scheduled to gradually unwind output cuts from December. Brent could get a boost as oil market analysts expect the Saudi Arabia-led group to maintain crude oil production levels and put a floor under oil.

“The focus remains on the OPEC+ production numbers and outlook and the group’s response to recent price weakness,” two analysts from ING Bank said.

Downward pressure:

Brent gains have been capped marginally amid ongoing negotiations over a ceasefire deal for the Gaza Strip. Israeli Prime Minister Benjamin Netanyahu has revealed plans to resolve the conflict in Lebanon, according to media reports.

“The plan, if agreed, would lead to a 60-day suspension of [Israel-Lebanon] hostilities while mediators craft a lasting peace deal to remove Hezbollah from the border region and bolster US peacekeepers there,” Hynes said.

Meanwhile, the market has regained confidence from Iran’s delayed response to Israel’s latest round of airstrikes. The news has eased some supply-related concerns and put downward pressure on Brent.

By Erik Hoffmann and Aparupa Mazumder

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