Americas Market Update 30 Oct

Fuel prices have moved in the upwards direction, and deliveries at Zona Comun could face disruptions over the weekend.

IMAGE: Cranes loading a container ship at a terminal in New York. Getty Images

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

• VLSFO prices up in Los Angeles and Balboa ($27/mt), Houston ($25/mt), New York ($23/mt) and Zona Comun ($21/mt)
• LSMGO prices up in Zona Comun ($46/mt), New York and Balboa ($39/mt), Los Angeles ($37/mt) and Houston ($31/mt)
• HSFO prices up in New York ($23/mt), Los Angeles ($21/mt), Balboa ($16/mt) and Houston ($12/mt)

Bunker prices across the Americas have risen in the past day, in line with Brent.

Zona Comun’s VLSFO price has posted the smallest gain for the grade. Two VLSFO stems of 500-1,500 mt have been fixed at the anchorage at $946/mt and $950/mt.

Availability is tight at Zona Comun, where VLSFO and LSMGO both need lead times of 7-10 days. High wind gusts blowing through the anchorage location between 30 October -1 November could disrupt bunkering operations, a source said.

In New York, VLSFO and HSFO prices have risen by the same amount, leaving the port’s Hi5 spread unchanged at $206/mt.

Demand in New York has been strong this week. VLSFO and LSMGO are available for prompt delivery, with lead times of 2-3 days. HSFO is tighter and needs at least six days’ notice, a trader said.

Brent

The front-month ICE Brent contract has gained $3.46/bbl on the day, trading at $117.14/bbl at 08.00 CDT (13.00 GMT) today.

Upward pressure:

Brent crude’s price has gained support following fresh attacks on oil tankers in the Strait of Hormuz and Houthi claims of strikes on Saudi energy facilities.

A tanker was struck by an unknown projectile while completing an outbound transit of the Strait of Hormuz yesterday, the United Kingdom Maritime Trade Operations (UKMTO) agency reported.

Separately, another tanker was disabled by an engine-room fire about 25 nautical miles northeast of Khasab, Oman, after a small boat attached two explosive devices to its hull, UKMTO said today.

Meanwhile, Yemen’s Iran-aligned Houthi militants said they attacked several sites in Saudi Arabia yesterday, including the Ras Tanura and Rabigh refineries and the Abqaiq oil processing facility.

Downward pressure:

Brent futures' gains have been capped by renewed diplomatic efforts in the Middle East.

Diplomatic efforts to end the conflict have “intensified”, ANZ Bank’s senior commodity strategist Daniel Hynes said, after US Vice President JD Vance reached out to Mohsen Rezaee, secretary of Iran’s Supreme National Security Council.

Iran received a letter from Vance but has not yet responded, Reuters reported, citing Iran’s semi-official Tasnim News Agency.

By Gautamee Hazarika and Aparupa Mazumder

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