Americas Market Update 12 Feb

Fuel prices have mostly declined, and the Sabine Neches waterway has been closed due to poor visibility.

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

Changes on the day to 07.00 CST (13.00 GMT) today:

• VLSFO prices down in Zona Comun ($20/mt), Houston ($4/mt), Balboa ($2/mt) and New York ($1/mt)
• LSMGO prices up in New York ($8/mt), and down in Zona Comun ($50/mt), Balboa ($7/mt) and Houston ($5/mt)
• HSFO prices unchanged in New York, and down in Balboa ($6/mt) and Houston ($4/mt)

New York's LSMGO price has gained over the past session, defying the general market direction as well as Brent's downward movement.

The port is currently at a massive premium of $161/mt to Houston's LSMGO benchmark, compared with the $50/mt premium it held a year ago.

In New York, the availability of VLSFO and LSMGO is normal, with lead times of 3–5 days. HSFO requires longer lead times but can be delivered in around 7 days, a source said.

The Gulf Coast continues to face disruptions due to the ongoing fog season.

The Sabine–Neches Waterway, which connects the ports of Beaumont, Orange and Port Arthur, to the Gulf of Mexico, is currently closed due to poor visibility and is expected to reopen once conditions improve.

Zona Comun's LSMGO price has meanwhile fallen by the biggest margin across all ports and grades and is trading at a small premium of $5/mt to Buenos Aires and $14/mt to Bahia Blanca in Argentina.

Lead times for VLSFO and LSMGO at the anchorage have been extended to 8-10 days this week.

Brent

The front-month ICE Brent contract has lost by $1.26/bbl on the day, to trade at $69.00/bbl at 07.00 CST (13.00 GMT) today.

Upward pressure:

The ongoing Middle Eastern supply uncertainty has supported Brent’s price this week, with market analysts laser focused on any development in talks between Tehran and Washington.

“Lingering uncertainty over Iran continues to buoy the market,” two analysts from ING Bank noted.

In its latest monthly market report, the Saudi Arabia-led OPEC group maintains its global oil demand growth projection for 2026 at 1.4 million b/d to average 106.52 million b/d for the year.

“These [OPEC] numbers remain above most other demand growth forecasts,” ING Bank analysts said.

Global oil consumption in 2027 is expected to grow by about 1.3 million b/d, to average 107.9 million b/d.

Downward pressure:

Brent crude’s price has felt some downward pressure after the US Energy Information Administration (EIA) reported a big rise in US crude stocks.

Commercial US crude oil inventories have increased by 8.5 million bbls to 428.8 million bbls for the week ending 6 February, according to data from the EIA.

The surge in crude stocks was “the largest increase since January 2025,” ING Bank’s analysts added.

A rise in US crude stocks can indicate lower demand for oil and put some downward pressure Brent's price, market analysts say.

By Gautamee Hazarika and Aparupa Mazumder

Please get in touch with comments or additional info to news@engine.online