Institution: Fuel oil maintained weak consolidation in the short term

【Industry performance】Singapore fuel oil stocks increased by 26,100 tons to 3,132,900 tons last week, ARA fuel oil stocks fell by 95,000 tons to 1.
06 million tons, and Zhoushan fuel oil stocks fell by 30,000 tons to 710,000 tons
.
Stocks in Singapore's high sulphur storage increased by 740,000 tonnes to 1.
684 million tonnes
.
Domestic futures inventories remained largely unchanged, with high sulfur at 2,680 tons and low-sulfur futures warehouse receipts at 16,750 tons
.

【Core logic】The core of the long-term logic affecting FU and LU lies in the structural problems of the foreign refined oil market, FU follows the logic of raw materials, LU follows the logic of refined oil, the current global refined oil market from structural imbalance to structural balance is still a general trend, in the process to boost FU to suppress LU.

From the short-term logic, the rise in floating warehouse stocks has formed a greater drag on fuel oil, but because FU01 is close to the delivery month, and the futures warehouse receipt is only 2680 tons, the internal and external price difference has not yet been opened, and it is still not bearish, Singapore's diesel cracking has plummeted, suppressing low sulfur prices
.

【Strategic view】Long FU01-FU03 or FU01-FU05 positive set
.
Risk point: FU01 contract delivery month before the month of warehouse receipt registration increased, crude oil continued to decline
.