OIL PRODUCTS: European Refiners Benefiting From Improved HSFO Value
May-14 13:34
European oil refiners are benefiting from a surge in the value of HSFO, Bloomberg reports.
- HSFO is almost as valuable as crude, Bloomberg reports citing General Index data.
- It usually trades at a steep discount to crude in northwest Europe, but pressure on supplies from plant shutdowns alongside demand from shipping and power sectors has closed the gap, Bloomberg reports.
- Egypt’s state-owned Egyptian General Petroleum Corp. recently issues a request for 32 cargoes of fuel oil for delivery in May and June, Bloomberg says.
- Those inflows would amount to 2m tons, far above the 520k tons seen in May and June last year.
- Demand for HSFO in the shipping industry is also supporting, Bloomberg says – Rotterdam sales of HSFO were almost 830k tons in January through March, the highest since at least 2020.
- Oil refinery closures in Europe, including the UK’s Grangemouth site and the halt of crude processing at Germany’s Wesseling facility are also supporting HSFO, Bloomberg says citing FGE.
Source: Bloomberg
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EQUITIES: US Opening calls
Apr-14 13:27
SPX: 5,465.3 (+1.9%); DJIA: 40,789 (+1.4%/+577pts); NDX: 19,120.3 (+2.3%).
EQUITY TECHS: E-MINI S&P: (M5) Corrective Cycle
Apr-14 13:21
- RES 4: 5906.75 High Mar 6
- RES 3: 5837.25 High Mar 25 and the reversal trigger
- RES 2: 5724.13 50-day EMA
- RES 1: 5512.18 20-day EMA
- PRICE: 5479.50 @ 14:10 BST Apr 14
- SUP 1: 5098.16 61.8% retracement of the Apr 7 - 10 bounce
- SUP 2: 4832.00 Low Apr 7 and the bear trigger
- SUP 3: 4760.88 1.618 proj of the Feb 19 - Mar 13 - 25 price swing
- SUP 4: 4663.75 1.764 proj of the Feb 19 - Mar 13 - 25 price swing
A short-term reversal in S&P E-Minis last week highlights the start of a corrective cycle. The trend condition has been oversold following recent weakness and the move higher is allowing this set-up to unwind. Initial resistance to watch is 5524.91, the 20-day EMA. Resistance at the 50-day EMA is at 5737.71. On the downside, key support and the bear trigger has been defined at 4832.00, the Apr 7 low.
EQUITIES: EU Bank outright call buyer
Apr-14 13:11
SX7E (20th June) 180c, bought for 4.25 in 12k vs 3.84k at 168.00.
