FIS: Fuel Oil Daily Evening Report

Rotterdam’s VLSFO crack saw the most notable push in the market today, hitting an intraday high of $2.30/bbl after the US market opened – up almost $1.30/bbl from yesterday’s settlement.

The East-West HSFO spread widened dramatically today, trading up $5.00/mt from yesterday, to $10.00/mt. This will help make the arbitrage from Europe to Asia more attractive, although freight rates remain high.