Oil prices fall on supply glut – Friday Fuel Watch
Excess supply due at the end of the Oct-2010 oil contract has seen oil prices dive more than USD5 per barrel over the past week. Global crude oil inventories continue to be significantly above historical averages, even as refinery capacity continues to decline.
Crude oil has traded between USD70 and USD80 per barrel since May-2010. Forecasts of oil demand have improved only modestly since the start of the year, mostly due to the softness of the US recovery. This week, ANZ Banking Group lowered its 2011 crude oil forecast by 1% to USD88 per barrel, citing both the higher-than-average inventories and slowing economic growth in the US.
Crude inventories in developed nations have reached 60 days worth of consumption, compared with a normal 53 days. US crude oil stocks fell by 2.4 million barrels, but remain at record high levels in the year-on-year comparison.
For the week to 21-Sep-2010, oil prices fell to USD72.96 per barrel, down 5% over the week.
WTI spot price (USD per barrel): Sep-2009 to Sep-2010
Source: Centre for Asia Pacific Aviation & US Energy Information Administration
Daily jet fuel prices (kerosene, cents per gallon) at New York, US Gulf Coast, Los Angeles, Amsterdam, Singapore: Sep-2009 to Sep-2010
Source: Centre for Asia Pacific Aviation & US Energy Information Administration
Daily jet fuel prices (kerosene, cents per gallon) at New York, US Gulf Coast, Los Angeles, Amsterdam, Singapore vs Crude Spot price (WTI, USD per barrel): 14-Sep-2010 to 21-Sep-2010
|
14-Sep-10 |
15-Sep-10 |
16-Sep-10 |
17-Sep-10 |
20-Sep-10 |
21-Sep-10 |
one week Change |
12 month Change |
|
|---|---|---|---|---|---|---|---|---|
|
New York Harbor |
218.09 |
217.89 |
214.15 |
214.25 |
218 |
215.5 |
-1.2% |
22.8% |
|
U.S. Gulf Coast |
213.09 |
212.64 |
208.9 |
209.75 |
213.5 |
211.22 |
-0.9% |
21.1% |
|
Los Angeles |
219.59 |
219.39 |
216.4 |
217 |
220 |
217.5 |
-1.0% |
22.1% |
|
215.81 |
215.81 |
213.92 |
213.92 |
218 |
214.75 |
-0.5% |
17.3% |
|
|
210.95 |
210.6 |
210.95 |
210.48 |
208.69 |
211.43 |
0.2% |
14.7% |
|
|
WTI Spot* |
76.78 |
75.92 |
74.58 |
73.63 |
74.81 |
72.96 |
-5.0% |
4.6% |