Americas Market Update 19 Oct

Fuel prices have mostly increased, and adverse weather conditions could disrupt bunker deliveries in New York.

IMAGE: Brooklyn waterfront with shipping containers and cranes. Getty Images

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

• VLSFO prices up in Los Angeles ($32/mt), Zona Comun ($31/mt), Houston ($14/mt), Balboa ($10/mt) and New York ($6/mt)
• LSMGO prices up in Zona Comun ($65/mt), Los Angeles ($54/mt), New York ($7/mt) and Balboa ($2/mt), and down in Houston ($16/mt)
• HSFO prices up in Los Angeles ($33/mt), New York ($16/mt) and Balboa ($15/mt), and down in Houston ($3/mt)

Houston’s VLSFO price has gained over the weekend. Two higher-priced, 150-500 mt and 500-1,500 mt stems, booked at $796/mt and $762/mt respectively, may have pushed the benchmark up.

Meanwhile, the port’s LSMGO price has declined. A lower-priced, 50-150 mt stem was fixed at $1,400/mt, which may have offered a downward push to the benchmark.

Bunker demand has been strong in Houston on the US Gulf Coast, and prompt availability of all three grades is tight. Suppliers recommend lead times of 6-8 days for both HSFO and VLSFO, a trader said. LSMGO is available with lead times of 4-5 days.

The port of New York has recorded price gains across all three fuel grades over the past session.

Strong wind gusts could disrupt bunker deliveries in New York and suppliers may need a standby tug while the winds are high, a source said.

Brent

The front-month ICE Brent contract has gained $1.84/bbl on the day from Friday, trading at $107.87/bbl at 08.00 CDT (13.00 GMT) today.

Upward pressure:

Growing concerns over escalating conflicts in the Middle East, in addition to the ongoing Russia-Ukraine war, have kept Brent on its toes. The benchmark gained around 3% over last week, briefly touching $110/bbl on Friday, its highest level since May 2026, before closing just below that mark.

Houthi attacks on Saudi Arabia as well as intensified Iranian strikes on Gulf energy infrastructure and vessels in the Strait of Hormuz have heightened fears of supply disruptions.

Russia and Ukraine continue targeting each other's energy infrastructure, with the latest strike on Russia's Ryazan oil refinery adding to market jitters.

Downward pressure:

US President Donald Trump's decision to waive several sanctions on Russia could pave the way for more Russian fuel volumes to reach the global market, putting some downward pressure on Brent's price.

Trump signed the order on 16 October, just two days before the sanctions were due to take effect. The waiver also covers provisions allowing tariffs of up to 100% on major buyers of Russian oil and gas.

The move follows Trump's announcement of the diesel purchase deal with Russian President Vladimir Putin on 9 October. Trump said Russian shipments could start at around 2.3 million bbls this month, before climbing to 7.6 million bbls.

By Gautamee Hazarika and Konica Bhatt

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