According to the data of SunSirs, the average price of 180CST of domestic fuel oil as of December 11 was 6,206.00 RMB/ton (tax included), 5.97% lower than the price of 6,600.00 RMB/ton on December 5.

On December 11, the fuel oil commodity index was 125.69, unchanged from yesterday, 8.20% lower than the cycle's highest point of 136.91 (2022-11-17), and 172.76% higher than the lowest point of 46.08 on August 15, 2016. (Note: Period refers to 2011-09-01 to now)

The international crude oil price fell sharply, and the cost support of the ship fuel market was limited. According to SunSirs, as of December 11, the self raised low sulfur price of 180CST fuel oil in the Zhoushan area was 6,350 RMB/ton, and the self raised low sulfur price of 120CST fuel oil was 6,450 RMB/ton; The price of 180CST self raised low sulfur of fuel oil in CNGC Shanghai is 6,180 RMB/ton, and the price of 120CST self raised low sulfur of fuel oil is 6,230 RMB/ton.

The international crude oil price fell sharply, and the international crude oil price fell to the lowest level within the year. Because some economic data of the United States exceeded expectations, the possibility of the Federal Reserve's radical interest rate increase still exists, which suppressed the benefits of OPEC+ production reduction and Western sanctions against Russia. The unexpected growth of the US ISM non manufacturing index in November, released on Monday, reflects that the domestic economy is still resilient. The continued economic boom has triggered market concerns about the Federal Reserve's transition from "dove" to "eagle", which may disappoint the Federal Reserve's previous desire to slow down interest rate hikes. The market provided the basis for the Federal Reserve to curb inflation and maintain the monetary tightening path, which affected the crude oil market to decline significantly. The overall global economy is weak, the prospect of energy demand is still not optimistic, and the economic weakness depresses oil prices.

Singapore's fuel oil inventory increased, providing limited support for fuel oil prices. It is understood that the Singapore Enterprise Development Board (ESG): As of the week of December 7, Singapore's fuel inventory had increased by 412,000 barrels, reaching a new three week high of 20.306 million barrels. Singapore's light distillate oil inventory fell 1.253 million barrels to a two-week low of 13.388 million barrels. Singapore's middle distillate oil inventory fell 694,000 barrels to a three week low of 7,066,000 barrels.

The international crude oil price continues to decline, which is bad for the domestic ship fuel market. The domestic ship fuel raw material price declines, and the ship fuel market has a strong wait-and-see mood, mainly purchasing on demand. At present, the 180CST low sulfur market price of fuel oil is about 6,100-6,300 RMB/ton, and the 120CST low sulfur market price of fuel oil is about 6,200-6,400 RMB/ton. It is expected that the 180CST market of fuel oil will decline slightly in China in the near future.

If you have any questions, please feel free to contact SunSirs with support@sunsirs.com.