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Home Bunker Fuel

Bunker fuel demand recovers as lockdowns ease

Editor by Editor
3 years ago
min read1 min
Bunker fuel demand recovers as lockdowns ease
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Fuel demand around the world is recovering as lockdowns ease. The World Bunker Index MABUX showed an uptrend in June for all major types of bunker fuel.

Prices rose fairly evenly, demonstrating a gradual recovery in demand on the global fuel market. The 380 HSFO index rose from 254 to 288 USD / MT (+34 USD), VLSFO: from 295 to 342 USD / MT (+47 USD), MGO: from 371 to 415 USD / MT (+44 USD).

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The price difference between 380 HSFOs and VLSFOs (the so-called Scrubber Spread (SS)) averaged USD 48.95 (33.99 USD in May). SS index rose slightly in June but still is not fairly enough to stimulate the process of scrubbers installation.

In the first half of the year world bunker indices showed a firm decline until the end of April, however, from May there has been a gradual stabilization of the market, and world bunker prices have entered a phase of moderate upward trend.

Bunker-fuel

Meantime, it is still difficult to justify significant upside in bunker prices in the near term due to the high levels of inventory, demand slow recovering and the fear over a severe second wave of Covid-19. All-in-all, it looks like global bunker market will continue to consolidate around current levels.

Follow MABUX on Twitter for regular updates:

Tweets by "MabuxAB"
Tags: bunker fuel indexbunker fuel pricesHSFOMABUXscrubber spreadscrubbersVLSFO
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