SINGAPORE, Jan 27 (Reuters) - Asia's cash differentials for jet fuel weakened on Wednesday, amid muted buying interest in the physical trade window, while refining profit margins for the aviation fuel dropped on firmer feedstock crude prices.
Cash discounts for jet fuel JET-SIN-DIF widened by a cent to 27 cents per barrel to Singapore quotes on Wednesday.
Traders were concerned the already-battered aviation market would be likely to remain under pressure in the near-term as several countries have tightened border restrictions and renewed travel bans to contain the pandemic.
"Although now vaccines are being deployed around the world, different countries will be vaccinated at different speed, and it would be different stages of recovery from COVID-19. Hence, travelling will still be very limited," a Singapore-based jet fuel trader said.
Next month's Lunar New Year holidays, which is typically a peak travelling season, are expected to be low key this year, especially as China battles a new wave of coronavirus cases. limit the spread of COVID-19, the Chinese government has discouraged travel in what is normally the busiest time of the year. As a result, airline bookings made as of Jan. 19 for Lunar New Year travel have plunged 73.7% compared with the holiday period in 2019, according to data from travel analytics firm ForwardKeys provided to Reuters. margins, also known as cracks, for jet fuel JETSGCKMc1 slipped to $3.12 per barrel over Dubai crude during Asian trading hours, down from $3.26 per barrel on Tuesday.
INVENTORIES
- Middle-distillate inventories in the Fujairah Oil Industry Zone climbed 16% to 4.5 million barrels in the week ended Jan. 25, data via S&P Global (NYSE:SPGI) Platts showed. FUJAIRAH/
- The weekly stocks in Fujairah have averaged 4.3 million barrels so far this year, compared with weekly averages of 4.2 million barrels in 2020, and 2.4 million barrels in 2019, Reuters calculations showed.
- U.S. distillate fuel inventories, which include diesel and heating oil, rose by 1.4 million barrels in the week to Jan. 22, compared with expectations for a draw of 361,000 barrels, data from industry group the American Petroleum Institute showed on Tuesday. API/S
SINGAPORE CASH DEALS O/AS
- No gasoil deals, no jet fuel trades
OTHER NEWS
- Iranian oil exports are climbing in January after a boost in the fourth quarter despite U.S. sanctions, three assessments showed, in a sign that the end of Donald Trump's term as U.S. President may be changing buyer behaviour. MID-DISTILLATES
CASH ($/T)
ASIA CLOSE
Change % Change Prev Close RIC Spot Gas Oil 0.5%
59.39
0.65
1.11
58.74 GO-SIN GO 0.5 Diff
-1.7
0.01
-0.58
-1.71 GO-SIN-DIF Spot Gas Oil 0.25%
59.49
0.65
1.10
58.84 GO25-SIN GO 0.25 Diff
-1.6
0.01
-0.62
-1.61 GO25-SIN-DIF Spot Gas Oil 0.05%
59.76
0.65
1.10
59.11 GO005-SIN GO 0.05 Diff
-1.33
0.01
-0.75
-1.34 GO005-SIN-DIF Spot Gas Oil 0.001%
60.81
0.65
1.08
60.16 GO10-SIN GO 0.001 Diff
-0.28
0.01
-3.45
-0.29 GO10-SIN-DIF Spot Jet/Kero
58.4
0.44
0.76
57.96 JET-SIN Jet/Kero Diff
-0.27
-0.01
3.85
-0.26 JET-SIN-DIF
For a list of derivatives prices, including margins, please
double click the RICs below.
Brent M1
BRENTSGMc1
Gasoil M1
GOSGSWMc1
Gasoil M1/M2
GOSGSPDMc1
Gasoil M2
GOSGSWMc2
Regrade M1
JETREGSGMc1
Regrade M2
JETREGSGMc2
Jet M1
JETSGSWMc1
Jet M1/M2
JETSGSPDMc1
Jet M2
JETSGSWMc2
Gasoil 500ppm-Dubai
GOSGCKMc1
Cracks M1
Gasoil 500ppm-Dubai
GOSGCKMc2
Cracks M2
Jet Cracks M1
JETSGCKMc1
Jet Cracks M2
JETSGCKMc2
East-West M1
LGOAEFSMc1
East-West M2
LGOAEFSMc2
LGO M1
LGOAMc1
LGO M1/M2
LGOASPDMc1
LGO M2
LGOAMc2
Crack LGO-Brent M1
LGOACKMc1
Crack LGO-Brent M2
LGOACKMc2