Bunker fuel prices have shown mixed movements, while lead times in Zona Comun have lengthened due to rough weather conditions.

IMAGE: Container ship leaving the Port of Houston at Morgan's Point. Getty Images

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

• VLSFO prices up in Houston ($10/mt), Zona Comun ($4/mt), Los Angeles ($1/mt), and down in Balboa ($15/mt) and New York ($2/mt)
• LSMGO prices up in Los Angeles ($13/mt), Zona Comun ($12/mt), Houston ($5/mt), New York ($2/mt), and down in Balboa ($31/mt)
• HSFO prices unchanged in Los Angeles, and down in New York ($4/mt), Houston ($2/mt) and Balboa ($1/mt)

Los Angeles’ LSMGO price recorded the sharpest increase in the past session, going against Brent’s downward trend.

Fuel availability on the US West Coast remains stable in Los Angeles and Long Beach, with suppliers recommending lead times of 7–8 days.

According to port officials, the changing trade policies as well as the ongoing federal government shutdown have added volatility to global shipping flows.

VLSFO prices in Houston have risen, while New York’s grade has dipped by $2/mt. These changes have kept Houston’s discount at around $42/mt, which is close to the $47/mt discount seen a month ago.

Meanwhile, weather in Zona Comun remains very rough, with wind gusts exceeding 20 knots. Bunker operations could be suspended if conditions fail to improve.

Barge operations are also experiencing anchorage delays, resulting in longer lead times than usual, a local supplier told ENGINE.

Brent

The front-month ICE Brent contract has lost $0.59/bbl on the day from Friday, trading at $60.47/bbl at 08.00 CDT (13.00 GMT) today.

Upward pressure:

London has intensified pressure on Russian crude oil exports with its latest bout of sanctions. This news has supported Brent crude’s price over the weekend.

The UK has sanctioned Rosneft and Lukoil – two of Russia's largest oil producers.

The companies are “Russia’s biggest oil producers,” remarked Daniel Hynes, ANZ Bank’s senior commodity strategist, adding that the UK has also targeted “two Chinese energy firms and Indian refiner Nayara Energy.”

Downward pressure:

Brent crude has felt some downward pressure today amid growing fears of a potential supply glut, as OPEC+ continues to boost output while unwinding its production cuts.

The International Energy Agency (IEA) has projected that next year’s surplus “could be as high as 4mb/d [4 million b/d],” Hyne said. “That is up roughly 18% from last month’s [September] estimate,” he added.

Meanwhile, escalating US-China trade tensions have further stoked concerns about weaker energy demand.

“The outlook for demand is complicated by the on-again off-again trade tensions between the US and China,” Hynes further added.

By Gautamee Hazarika and Aparupa Mazumder

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