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SINGAPORE: Elevated crude oil prices continued to weigh on Asia's fuel oil crack for a third consecutive session on Tuesday, sources said.

Still, some industry sources viewed fuel oil cracks as elevated at current levels given the recent rise in crude oil prices to their highest since mid-2015, as well as ample inventory levels in Singapore and northwest Europe.

The front-month 180-cst fuel oil crack to Brent crude widened its discount to minus $4.10 a barrel, down 39 cents a barrel from the previous session.

Meanwhile, lower supplier offers and a limited buying interest for 380-cst fuel oil cargoes weighed on cash premiums of the fuel, snapping three straight sessions of gains.

 

Copyright Reuters, 2017
 

 

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