Keeping an eye on bunkers. Your weekly bunker update powered by InterContinental Bunkering.
Good afternoon, Brent futures for November delivery fell $1.40, or 3.3%, to settle at $41.03 a barrel, while the more active Brent contract for December fell 3.1% to settle at $41.56.
WTI crude fell $1.31, or 3.2%, to settle at $39.29 per barrel. A quiet Tuesday mimics the sentiment of Monday as we lead up to the start of Golden Week in China starting on the first of October, although oil fell over $1 at 15.30GMT, combined with the death of Kuwait’s Humanitarian Emir and the scathing debates that happened at 0100GMT on Wednesday lead to investor uncertainty surrounding oil prices.
Bearish factors on both the demand and supply side continued to weigh in Asia trade and were not expected to improve in the near term according to experts, as a retreat in the day’s prices came after the dollar weakened
and a surge in US equity prices. Rising virus cases suggest that demand will fall versus increasing supply from countries such as Libya. (S&P Global Platts)
Heads of the top global trading houses have spoken at the global FT commodities annual summit and suggested that Crude prices remain flat well into 2021, as there are modest expectations for the near future. The majority have crude rangebound at $40-$45 with the CEO of Mercuria being the most pessimistic on the situation by not expecting demand to rebound until at least 3 years’ time. (Reuters)
Gazprom has pledged to honour its dividend payments and policies, notwithstanding any market conditions. It has said that it will pay no less than half of its adjusted net profit in dividends.
Whilst in other oil major news, Shell plans to cut 9,000 jobs, or 10% of its workforce as it shifts its attention away from oil and gas to low carbon alternatives as it looks to save up to $2.5 billion by the end of 2022.
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