Singapore bunker prices fell on Thursday, spurring pent-up demand, weakening its differential to fuel oil cargo values, traders said.
Prices for 380-centistoke (cst) bunker fuel were pegged at $350-$352 a tonne, down $11 from Wednesday's Asian close, with the differential to fuel oil at a premium of $3.75, down from $5.00.
"Many buyers had been holding back over the past few days as prices rose to record-high levels but the big fall today has started drawing some of them back," a Singapore-based bunker supplier said.
"As usual, the buyers are coming in very cautiously as some of them think, or hope, that prices will fall further. Also, some sellers, especially the high-end suppliers, are holding back and are not keen to offer."