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) continued firm downward trend on Sep.08:

380 HSFO – USD/MT – 525.73 (-22.98)
VLSFO – USD/MT – 794.19 (-17.35)
MGO – USD/MT – 1 187.20 (-2.62)

As of September 08, the MABUX MBP/DBP Index (MDI) (comparison of market bunker prices and the MABUX digital bunker price benchmark) registered no single dynamics in the HSFO segment, an increase of overcharge ratio in the VLSFO segment, and no firm trend in the MGO LS segment.

According to MDI, 380 HSFO fuel grade remained underestimated on September 08 in all four selected ports. The underprice premium was registered as: Rotterdam – minus $106 (minus $98 a day earlier), Singapore – minus $135 (minus $120), Fujairah – minus $127 (no change), Houston – minus $17 (minus $33). MDI did not have a firm dynamics in this fuel segment: underpricing increased in Rotterdam and Singapore, but decreased in Houston. The MDI at the Port of Fujairah has not changed.

In the VLSFO segment, all ports were overcharged on September 08: Rotterdam – plus $ 45 versus plus $ 20 a day earlier, Singapore – plus $ 38 (plus $ 28), Fujairah – plus $ 80 (plus $ 51) and Houston – plus $ 53 (plus $29). Overprice premium rose moderately in all selected ports.

In the MGO LS segment, the Rotterdam-Singapore pair was still undervalued by minus $71 (minus $41 the day before) and minus $104 (minus $83), respectively, while the Fujairah-Houston pair was overvalued by plus $137 (plus $170) and plus $3 (plus $17). In the MGO LS segment, the undercharge ratio began to grow again, while the overcharge decreased. The MDI index showed the most significant change in Fujairah – a 33-point overcharge decline.

We expect global bunker indices to demonstrate irregular changes with no firm trend on Sep.09: 380 HSFO – plus 3-9 USD/MT, VLSFO – plus 5-12 USD/MT, MGO LS – minus 8-20 USD/MT.

Source: www.mabux.com