MABUX: No firm trend in Global bunker market on Oct. 20
MABUX World Bunker Index (as index calculated on current prices for 380 HSFO, VLSFO and MGO in the main world hubs) demonstrated downward changes on Oct. 19:
380 HSFO – USD/MT – 489.21 (-3.91)
VLSFO – USD/MT – 793.87 (-4.01)
MGO – USD/MT – 1 207.05 (-14.97)
380 HSFO fuel grade, according to MDI (comparison MABUX MBP Index (market bunker prices) vs MABUX DBP Index (MABUX digital bunker benchmark), were undervalued on Oct. 19 in all selected ports. The underestimation premium was registered as: Rotterdam – minus $141 (minus $142 the day before), Singapore – minus $176 (minus $180 the day before), Fujairah – minus $192 (minus $186 the day before), in Houston – by minus $81 (minus $82 the day before). The underestimation level slightly decreased in all ports, except of Fujairah, where the undercharge level increased by 6 points.
In the VLSFO fuel grade segment, three out of four selected ports, according to the MDI index, were in the overcharge zone: Singapore – plus $69 (plus $70 the day before), Fujairah – plus $48 (plus $39 the day before), and Houston – by plus $29 (plus $24 the day before). In Rotterdam this fuel grade remained undercharged by minus $7 (no changes). The MDI level increased in half of selected ports. The most significant changes were registered in Fujairah, where the overcharge level increased by 9 points.
MGO LS was undercharged in two out of four selected ports: in Rotterdam – by minus $71 (minus $53 the day before), in Singapore – by minus $110 (minus $88 the day before). This fuel grade was overcharged in Fujairah – by plus $52 (plus $65 the day before), in Houston – by plus $18 (plus $8 the day before). MDI index in MGO LS segment decreased in most of selected ports. The most significant changes were registered in Singapore, where the undercharge level rose by 22 points.
We expect Global bunker prices may demonstrate irregular changes on Oct.20: the price for 380 HSFO may increase by 10-15 USD/MT, VLSFO – by 15-20 USD/MT, MGO LS – may decline by 20-30 USD/MT.