AMERICAS BUNKERS: Key market indicators March 1-5

North America's spot bunkers markets saw pricing volatility the week of Feb. 22-26, as activity was relatively muted amid swings in upstream energy markets.

LATIN AMERICA

Latin America spot bunker prices are looking for guidance from global oil markers after a volatile week that started with steep increases and ended with strong falls.

The balance however was of mostly advances, with the most prominent increases seen in Argentina.

Marine fuel 0.5%S in Buenos Aires rose $25/mt (5.1%) to $520/mt from Feb. 22 to Feb. 26, recovering from a month in which the market moved at slow pace, with low demand and suppliers competing with low pricing.

"Demand is recovering, it seems it is going to be a good March, it seems we will have a record (wheat) harvest," a market source said.

Marine gasoil in Buenos Aires climbed $69 (12.1%) to $640/mt, a week after its main competitor, Brazil, increased MGO by $64/mt. Last week, MGO in Santos only rose $1 to $632/mt.

Regarding the 0.5%S, the Brazilian port saw an $18 jump (3.6%) to $516/mt.

The 0.5%S rose $20 (4%) in Cartagena to $515/mt after holding steady for two weeks. A market source said the advance was mostly a result of increases in the global energy front and not of fundamentals, as the Colombian market was still "soft, there is really not a lot of demand."

Marine gasoil moved up $13 (2.2%) to $608/mt, however some offers were talked at stronger values.

In Panama, the effects of the February winter storm in Houston continued to be a pressure for pricing but the situation started to ease. "One or two suppliers were a little congested, but overall, it seems avails are okay," a market source said. Balboa imports its bunkers from Houston.

"Deliveries are starting to be sorted out," another market source said, but he still pointed to firm demand.

Amid wide pricing indications and deals at considerable lower prices than offers, the 0.5%S in Balboa fell last week $7 (1.4%) to $511/mt ex-wharf. Marine gasoil in the port rose $2 (0.3%) to $582.

EAST, WEST COASTS

North America's East and West Coast markets saw support for higher spot bunkers pricing the week of Feb. 22-26, with limited liquidity offset by stronger upstream energy sectors.

In New York, spot retail 0.5%S marine fuel pricing rose $7 (1.4%) during the week to close at $507/mt ex-wharf, while MGO value also gained $7 (1.3%) to close at $562/mt ex-wharf.

The Montreal market tracked New York, with 0.5%S pricing up $3 (0.6%) at $545/mt ex-wharf and MGO rising $3 (0.5%) to $598/mt ex-wharf.

"Everything on the upswing, following crude," a bunker fuel source said of Northeastern ports, with others also citing rising offer levels.

On the West Coast, spot markets moved with rising values in Asia while supply-demand fundamentals remained largely unchanged.

Vancouver spot 0.5%S assessments rose $23 (4.6%) over the week to reach the most recent value of $523/mt ex-wharf. MGO in Vancouver climbed $16 (2.7%) to close the week at $614/mt ex-wharf.

"Supply is okay," a Pacific Northwest bunker supplier said. "Demand is only average."

In Los Angeles, spot values rose sharply on the week.

The LA retail spot price for 0.5%S marine fuel gained $20 (3.9%) to close at $533/mt delivered, and on the MGO front the rise was $42 (7.5%) to most recently reach $601/mt ex-wharf.

GULF COAST

The bunker markets on the Gulf Coast started to recover from the winter storm that impacted Houston the previous week, with prices mostly following the global energy swings. A market source described last week's activity as "crazy volatile."

The 0.5%S in Houston rose $7 in Feb. 22-26, to $490/mt, while in New Orleans prices for the fuel jumped $9 to $497/mt.

Marine gasoil in the Texas port fell $3 to $565/mt, and retreated $1 in the Louisiana port to $572/mt.

Highs sulfur IFO 380 also stepped back $2 in both ports, getting to $367/mt in Houston and $372/mt in New Orleans.