Fuel oil: Low-sulfur fuel oil supply has tightened to some extent

From the perspective of inventory, API released weekly data in the early morning showing that US crude oil inventories fell sharply, falling by 7.
85 million barrels in the week of November 25, the largest decline since the week of July 2, 2021, but the accumulation of refined oil products exceeded expectations, of which US gasoline inventories increased by about 2.
9 million barrels, and analysts expected an increase of 1.
7 million barrels; Distillate inventories, including diesel and heating oil, rose by about 4 million barrels, and analysts expected an increase of 1.
5 million barrels, and the demand side may face a weak reality in the short term
.

Overall, the market interpreted the report as bullish and continued to wait for subsequent EIA data verification
.

The crude oil end is deadlocked, and the wait-and-see mentality of domestic fuel oil market operators is not reduced
.
The recent rise in gasoline cracking spreads is likely to prompt Asia-Pacific refiners to increase the utilization of catalytic crackers, which in turn may lead to some tightening of regional low-sulphur fuel oil supplies
.

In addition, Singapore inventories fell sharply last week, and inventories are expected to continue their downward trend
this week.
In the short term, the absolute price of fuel oil is expected to follow crude oil
.