London — Futures contracts settling against Platts FOB Rotterdam Marine Fuel 0.5% barge assessments traded for the first time Tuesday morning on the Intercontinental Exchange, following Tuesday's launch of ICE's futures contracts.
Receive daily email alerts, subscriber notes & personalize your experience.Register Now
One lot, equivalent to a 1,000 mt contract, of Calendar 2020 Marine 0.5% FOB Rotterdam barge/3.5% FOB Rotterdam barge traded at $160/mt, the first trade following the launch of ICE's 0.5% Marine fuel contracts Tuesday.
Three lots, equivalent to three 1,000 mt contracts, of ICE's Calendar 2020 Marine 0.5% FOB Rotterdam barge (Platts)/3.5% FOB Rotterdam barges (Platts) were offered on the exchange at $170/mt, $175/mt and $195/mt. One lot for the December 2019 contract for Marine 0.5% FOB Rotterdam barge/3.5% FOB Rotterdam barge was also offered at $175/mt.
"It's a start, a bit rich maybe," a broker said.
The first 0.5% futures contract trade occurred on January 31 on CME for 10 lots of Mini Singapore FOB Marine Fuel 0.5% (Platts) Futures for December 2019 and was reported at $500/mt. The contract was likely a spread trade against 10 lots of Mini Singapore Fuel Oil 380 CST (Platts) December Futures reported at $320/mt at the same time.
"Everyone is watching the launch on 0.5% futures on ICE, everyone is watching this intensively," Michael Poulsen, senior oil risk manager at Global Risk Management, told S&P Global Platts Tuesday.
Platts launched the Marine Fuel 0.5% cargo assessments at key ports globally January 2.
-- Eleni Pittalis, firstname.lastname@example.org
-- Sarah-Jane Flaws, email@example.com
-- Solomon Lanitis, firstname.lastname@example.org
-- Edited by Jonathan Fox, email@example.com
London Oil & Energy Forum | London Hilton | February 25, 2019
Join our respected editors and analysts as they share insights on the latest oil and energy industry developments, market outlooks and in-depth analysis of major trends.Register now