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WTI and Brent oil futures fell to the lowest levels of the session this morning, after International Energy Agency cut its forecast for global oil demand for the fourth month in a row.

Oil prices at ICE and NYMEX hit fresh long-term lows in early Asian trading on Monday, weighed down by news that Iraq reduced its selling prices for its crude at the week-end, thus fuelling the price battle inside OPEC. Prices quickly recovered, though, trading in a narrow range before dropping again at the beginning of the European session, falling through their first support lines in the process in a market without direction. China's encouraging data on crude oil imports are attributed to an increase in the strategical reserves and Venezuela's call for an unscheduled OPEC meeting was retorted by the Kuwaiti oil minister saying that he does not expect the cartel to decide on a production cut as this move would have no impact in view of the current market situation. In the absence of more economic indicators oil prices at the ICE continued to trade in a narrow margin during a quiet session in New York due to Columbus Day, while prices at the NYMEX rose slightly because of the liquidation of spread positions, so analysts.

ICE Gasoil contract for November delivery settled at 760.50 USD on Monday, this is 3.25 USD below Friday's settlement. With some 90,300 deals the traded volume (front month) was far above average.

The Stochastic has meanwhile triggered a buying signal at the WTI chart after Monday's late rise but this signal could be falsified by profit taking from spread bets. Only if the RSI or the Stochastic trigger buying signals at the ICE charts the technical constellation could turn bullish. For the time being, all indicators are still neutral. As the Stochastic indicator might as well trigger a selling signal at the Brent and the gasoil chart, we consider the technical constellation as neutral this morning.

U.S.

Nymex above avarage: Oil prices are trading in a narrow range in Asia and electronic Globex trade this morning in a market lacking direction in the absence of fresh news. The traded volume at NYMEX is above average at this time of the day. Today, market players will eye the development at stock and forex markets as well as the situation in the geopolitical hotspots and the few economic indicators to be released today, all of them in the euro zone.

Houston (ex-wharf indications 14-10)
380cst $506
180cst $602
MGO $872

New Orleans (ex-wharf indications 14-10)
380cst $509
180cst $608
MGO $867

Singapore (delivered indications 14-10)

WTI is gaining with +$1.16 Singapore paper is up with +$0.40 for 180cst with +$0.60 for 380cst for Oct, and for Nov 180 cst +$1.00 and 380cst with +$0.60 with MGO contracts Oct losing with +$0.51 and in Nov with +$0.42. The cargo market is losing with 180cst -$5.51, 380cst with -$5.39 and MGO with -$0.17.

The Singapore fuel oil prices fell app. -$5.5 during the Asian Platts window. The delivered bunker premiums were stable at around +$8.25 above cargo prices.

380cst $499
180cst $512
MGO $745

Fujairah (delivered indications 14-10)

380cst $518
180cst $575
MGO $960

ARA (Amsterdam - Rotterdam - Antwerp)

The avails of HSFO and LSFO in all of ARA are tight.

Indications for delivered bunkers:
380cst : $485
(1.0 %) : $505
MGO 0.1%S: $743