Americas Market Update 11 Sep

Bunker prices have moved in mixed directions across the Americas, and rough weather could suspend bunker operations off Trinidad.

IMAGE: Ship docked in Trinidad. Getty Images

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

• VLSFO prices up in Balboa ($5/mt), unchanged in New York, and down in Los Angeles ($15/mt), Zona Comun ($7/mt) and Houston ($1/mt)
• LSMGO prices up in New York ($30/mt) and Balboa ($1/mt), unchanged in Houston, and down in Los Angeles ($46/mt) and Zona Comun ($41/mt)
• HSFO prices up in New York ($1/mt), unchanged in Balboa, and down in Los Angeles ($19/mt) and Houston ($2/mt)

Zona Comun's VLSFO price has declined over the past day, under pressure from a lower-priced 150-500 mt VLSFO stem fixed at $885/mt.

Suppliers at the anchorage have good availability of VLSFO and LSMGO, with both grades deliverable in 5-7 days, a source said.

Strong winds could disrupt bunker operations at Zona Comun today and tomorrow, with gusts of up to 25 knots forecast. Strong winds off Trinidad could also disrupt bunkering there tomorrow.

Brent

The front-month ICE Brent contract has lost $0.64/bbl on the day, trading at $104.26/bbl at 08.00 CDT (13.00 GMT) today.

Upward pressure:

Brent crude’s price is poised to end the week higher than it began, amid escalating US-Iran hostilities in the Middle East, dragging Saudi Arabia in the crossfire.

The Iran-backed Yemeni militant group the Houthis have gained control of the Yemeni port city of Mokha, advancing down the Red Sea coast.

“Oil prices surged again yesterday as tensions intensified in the Red Sea,” two analysts from ING Bank noted.

The move could allow the Houthis to increase control over the Bab al-Mandeb Strait, one of the world’s busiest shipping routes in the southern outlet of the Red Sea, according to analysts.

“As the Houthis have taken control of the Red Sea port of Mokha in Yemen, recent events increase the threat to shipping around the Bab al-Mandeb Strait,” ING Bank analysts added.

Downward pressure:

Brent has come under downward pressure after the Organization of the Petroleum Exporting Countries (OPEC) cut its global oil demand growth projection for 2026 to about 400,000 b/d, around 200,000 b/d lower than its previous estimate.

OPEC sees global oil demand reaching 105.84 million b/d in 2026.

By Gautamee Hazarika and Aparupa Mazumder

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