The Bunker Review was contributed by Marine Bunker Exchange (MABUX)
MABUX World Bunker Index (as index calculated on current prices for 380 HSFO, VLSFO and MGO in the main world hubs) showed irregular fluctuations on March 22 amid high volatility:
380 HSFO – USD/MT – 726.10 (+9.83)
VLSFO – USD/MT – 953.23 (+15.21)
MGO – USD/MT – 1 162.40 (-15.12)
The correlation of MABUX MBP Index (market bunker prices) vs MABUX DBP Index (MABUX digital bunker price benchmark) on March 22 showed that 380 HSFO fuel remained overpriced in three out of four selected ports: Singapore turned over to the underestimation zone – minus $ 36 (plus $ 2 the day before). In other ports, overprice margins were registered as: Rotterdam – plus $36 (plus $52 a day earlier), Fujairah – plus $8 (plus $25) and Houston – plus $65 (plus $101). The overcharge ratio at all ports has decreased significantly. The maximum decline was recorded in Singapore and Houston – minus 38 points and 36 points, respectively.
In the VLSFO segment, the MABUX MBP/DBP Index also registered a sharp decline of overcharge ratio at all ports on Mar.22: Rotterdam – plus $69 (versus plus $117 a day earlier), Singapore – plus $18 (plus $55), Fujairah – plus $70 (plus $97) and Houston – plus $66 (plus $33). Rotterdam – by 48 points, and Singapore – by 37 points were the most significant declines.
MGO LS, according to the MABUX MBP/DBP Index, was significantly overvalued in two out of four ports selected: Rotterdam – plus $38 (plus $37 a day earlier) and Houston – plus $128 (plus $127). Singapore and Fujairah were still undervalued: minus $96 (minus $34) and minus $9 (plus $58).
In general, the trend towards underpricing of fuel indices is observed in all selected ports, which indicates a certain decrease of volatility in the market.
We expect the instability to continue in global bunker market while price indexes may change irregular today: 380 HSFO – 0-minus 15 USD/MT, VLSFO – plus-minus 2-20 USD/MT, MGO LS – plus 5-15 USD/MT.
mabux.com
