In high sulphur fuel oil (HSFO), we saw the Sep’24 Rotterdam 3.5% barge crack initially decline from -$9.85/bbl to -10.25/bbl between 09-13 Aug. However, the HSFO’s physical pricing improved, with the cash-to-paper consistently printing above $15/mt. This support injected life into the paper contract, taking the crack to -$9.45/bbl on 19 Aug. Similarly, the Sep/Oct’24 3.5% barge spread rallied from $8.75/mt to $11/mt between 09-19 Aug but fell to $9.50/mt on 21 Aug. Here, it found newfound interest and firmed up to $11.25/mt by 23 Aug (at the time of writing).
