The LST/FEI arb firmly rebounded over the fortnight and rallied almost $40/mt to -$160/mt handles come Mar 24.
On the other hand, the May FEI/CP diff witnessed incredibly bearish tides with an overarching CP complex relative to FEI.
In freight, the BLPG1 plummeted, clocking fortnightly declines across the curve. The BLPG3 also fell over the past week, but remained either stagnant or slightly elevated (depending on the tenor) to levels noted a fortnight ago.
Open interest wise, we see that market risk appears to be concentrated in the back, with OI at least 50% in excess of 5-year averages in H2’24 tenors of FEI. Still, Apr LST/FEI saw a 75% fortnightly rise to 2.9mbbls on Mar 25.
In the week to Mar 19, CFTC data showed that bullish speculators added to their positions whilst their bearish counterparts showed no w-o-w changes to their positions.
EIA stats for the week to Mar 15 highlighted a build of 352kbbls in propane and propylene stocks against expectations of a draw. The week to Mar 22 showcased a muted draw of 43kbbls.
