MABUX World Bunker Index (consists of a range of prices for 380 HSFO, VLSFO and MGO in the main world hubs) continued downward changes on Aug. 01:

380 HSFO – USD/MT – 620.39 (-0.79)

VLSFO – USD/MT – 912.51 (-7.10)

MGO – USD/MT – 1214.85 (-16.30)

As of Aug.01, a correlation of MABUX MBP Index (Market Bunker Prices) vs MABUX DBP Index (Digital Bunker Prices Benchmark) in four largest global hubs showed that 380 HSFO fuel grade was undervalued in three out of four selected ports: Rotterdam – by minus $138 (minus $118 the day before), in Singapore – by minus $141 (minus $130 the day before), in Fujairah – by minus $182 (minus $155 the day before). In Houston this fuel grade remained overvalued -by plus $22 (plus $46 the day before). MABUX MBP/DBP Index (MDI) for 380 HSFO fuel declined in all selected ports. The most significant changes were registered in Fujairah, where the undercharge level increased by 27 points on Aug.01.

VLSFO, according to the MABUX MBP /DBP Index, remained overcharged on Aug.01 in three out of four selected ports. The overcharge ratio was registered in Singapore by plus $69 (plus $98 the day before), in Fujairah – by plus $71 (plus $110 the day before), in Houston – plus $84 (plus $98 the day before). In Rotterdam this fuel grade became undercharged – by minus $25 (plus $23 the day before). MDI for VLSFO also declined for all selected ports. The most significant changes were registered in Rotterdam, where the overcharge level decreased by 48 points, as a result VLSFO in this port became undercharged on Aug.01.

MGO LS, according to the MABUX MBP /DBP Index, was undervalued in two out of four selected ports on Aug.01: in Rotterdam – by minus $35 (minus $17 the day before), in Singapore – by minus $88 (minus $55 the day before). This fuel grade remained overvalued in Fujairah – by plus $146 (plus $195 the day before) and in Houston – by plus $76 (plus $39 the day before). MDI index for MGO decreased in most of selected ports. The most significant changes were registered in Fujairah, where the overcharge level decreased by 51 points.

We expect global bunker prices may decline sharply today. The price for 380 HSFO may decrease by 25-40 USD/MT, VLSFO – by 30-50 USD/MT, the price for MGO may decline by 30-55 USD/MT.

Source: www.mabux.com