As of June 27, the average 180CST price of domestic fuel oil was 4,750.00 RMB/ ton (including tax), up 0.37% from 4,732.50 RMB/ ton on June 21, according to SunSirs.

On June 27, the fuel oil commodity index was 96.20, unchanged from the previous day, down 17.00% from 115.91 (October 17, 2018), the highest point in the cycle, and up 108.77% from 46.08, the lowest point on August 15, 2016（Note: period refers to the period from September 1, 2011 to now）

Domestic marine oil raw materials rose to fuel oil 180CST cost support. According to SunSirs, as of June 27, the 180 CST self pick up low sulfur price of fuel oil in Zhoushan was 4,750 RMB/ ton, and the 120 CST self pick up low sulfur price of fuel oil was 4,850 RMB/ ton; The price of 180 CST self pick up low sulfur fuel oil in Shanghai was 4,750 RMB/ ton, and that of 120 CST self pick up low sulfur fuel oil was 4,850 RMB/ ton.

The rise of international crude oil prices, the gradual recovery of international economy in many regions, the continuous growth of vaccination in the U.S. region, and the peak season of U.S. crude oil demand, the expectation of recovery of European and American demand boosted the crude oil market. In addition, OPEC+ alliance continued to adhere to the measure of gradually restoring supply from June to July, which offset the risk of increasing supply caused by the consensus reached in the U.S. - Iran nuclear agreement negotiations, supporting oil prices.

Singapore's fuel oil inventory decreased, supporting fuel oil prices. It is understood that Singapore's enterprise development board (ESG): in the week ending June 23, Singapore's fuel oil inventory decreased by 574,000 barrels to a four week low of 23,403,000 barrels.

SunSirs energy analysts believe that the recent oil price rise is favorable for support, but the market trading is light, terminal shipping demand is weak, downstream procurement enthusiasm is not high, on demand procurement is the main, the rising resistance is relatively large, the ship ignition wholesalers are under pressure in two directions. At the beginning of the month end, the ship combustion will wait for a new round of price guidance, and it is expected that the fuel oil 180CST market will be stable in the near future in China.

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