Singapore bunker prices fell on Tuesday but the differential to cargo prices rose on tightening supplies resulting from short-term berth congestion, traders said.
Prices for 380-centistoke (cst) bunker fuel were pegged at $350-$352 a tonne, down $3 from Monday's Asian close, with the differential to fuel oil at a premium of $1.63, up from a discount of 25 cents.
"The market's improving because there is some tightness for the prompt delivery dates. Also, some of the oil majors have not exactly been keen sellers, having sold off much of their allocations for the month," a Singapore-based bunker supplier said.
"Most deals were done at around $350-$351 a tonne levels although there were some stragglers still at $348-$349 but their numbers are running thin. Most of them got rid of their April barrels at deep discounts yesterday when the market was high."