Report Summary 1. Report Industry Investment Rating No relevant information provided. 2. Core Viewpoints - This week, the high - sulfur crack spread fluctuated and declined, the near - month spread decreased, and the EW weakened rapidly. The 380 8 - 9 month spread dropped to $4.25, the basis oscillated at a low level, the FU07 internal - external spread oscillated at - $5, and the 09 spread oscillated at + $10. There was a large amount of delivery goods in the near - month, maintaining a loose pattern [4]. - The low - sulfur crack spread rebounded, the month spread dropped to around $5, the basis weakened slightly and oscillated at $6. The LU internal - external spread remained strong, with the 09 spread oscillating at around $17 [7]. - This week, Singapore's on - shore inventory increased, floating storage oscillated at a high level, low - sulfur floating storage decreased slightly. ARA's on - shore inventory increased slightly, but the inventory was still at the lowest level in the same period of history, and floating storage inventory oscillated with low - sulfur floating storage increasing. Fujairah's on - shore inventory increased significantly, and floating storage decreased slightly [7]. - This week, geopolitical risks were lifted. Recently, fuel oil exports from Iran and Iraq remained at a high level, and Egypt's net imports reached a new high. The high - sulfur fundamentals were in an oscillating pattern. Currently, high - sulfur is in the peak power - generation season, the near - month internal - external spread of FU is under pressure, the valuation is low, and the game continues. In the future, pay attention to the shipping situation in the Middle East. The LU internal - external spread is running at a high level, and pay attention to the domestic production situation [7]. 3. Summary by Related Catalogs Rotterdam Fuel Oil Data - From June 23 to June 27, 2025, the price of Rotterdam 3.5% HSF O swap M1 decreased from $460.60 to $411.99, a change of - $1.97; the price of Rotterdam 0.5% VLS FO swap M1 increased from $509.41 to $474.54, a change of $0.38; and other related spreads also had corresponding changes [2]. Singapore Fuel Oil Data - Swap data: From June 23 to June 27, 2025, the price of Singapore 380cst M1 decreased from $471.10 to $415.91, a change of - $7.34; the price of Singapore VLSFO M1 increased from $540.67 to $498.49, a change of $3.37 [2][6]. - Spot data: From June 23 to June 27, 2025, the FOB 380cst price decreased from $475.90 to $416.77, a change of - $10.95; the FOB VLSFO price increased from $549.45 to $504.02, a change of $2.08 [3]. Domestic FU Data - From June 23 to June 27, 2025, the price of FU 01 changed from 3180 to 2864, a change of 1; the price of FU 05 changed from 3100 to 2811, a change of - 1; the price of FU 09 changed from 3385 to 3002, a change of - 17 [3]. Domestic LU Data - From June 23 to June 27, 2025, the price of LU 01 changed from 3815 to 3528, a change of 29; the price of LU 05 changed from 3701 to 3434, a change of 14; the price of LU 09 changed from 3968 to 3600, a change of - 23 [4].

Report Summary 1) Report Industry Investment Rating No information provided. 2) Core View of the Report - The LPG market shows complex trends, with civil gas prices rising first and then falling. The PG futures price fluctuates widely, the basis strengthens, and the spread between months changes little. The external market price weakens significantly, and the oil - gas ratio first suppresses and then rises. The import price drops significantly, and the profit of PDH production improves slightly. It is expected that the operating rates of PDH and alkylation will rise slightly next week, the combustion demand remains weak, and the subsequent price will generally stabilize [1]. 3) Summary by Related Catalogs Daily Data - From June 22 - 27, 2025, prices of various LPG - related products such as South China LPG, East China LPG, Shandong LPG, etc., show different trends. For example, South China LPG price changes from 4695 on June 22 to 4710 on June 27, with a daily change of - 45 on the 27th. The cheapest deliverable is Shandong civil gas at 4590. The 08 - 09 spread of PG is 94, and the US - to - Far - East arbitrage window is closed [1]. Weekly View - Civil gas prices rise first and then fall. The market is bullish at the beginning of the week due to geopolitical tensions, but then is under pressure as overall supply is high, high prices are resisted by downstream, and the easing of the Middle East situation leads to a sharp drop in oil prices. The basis of PG strengthens to 345. The external market price weakens significantly, and the oil - gas ratio first suppresses and then rises. The import price drops significantly, the profit of PDH spot production improves, and the profit calculated by paper goods rises. The profit of alkylation oil increases significantly, the profit of MTBE gas - fraction etherification remains basically flat, and the profit of isomerization etherification rises. In terms of fundamentals, port inventories increase due to more arrivals, factory inventories increase slightly with regional differentiation (East China destocks, South China and Shandong build up inventories), and external sales increase. The operating rate of PDH rises to 70.54% (+4.33 pct), and the operating rate of alkylation is 46.02% (-1.84 pct), with MTBE production basically flat. The number of registered warrants is 8358 (+0) [1].

Report Summary 1. Core Viewpoint - This week, the high - sulfur cracking was volatile, with crude oil rising significantly. High - sulfur fuel oil, with a large proportion of Iranian supply, performed well in oil product profits. The 380 - cst monthly spread was volatile, at $7.5 for the 8 - 9 month spread, and the basis was also volatile. The domestic and foreign spreads of FU showed differentiation between near and far months. The 07 contract dropped to around -$7 (with expected large delivery volume), and the 09 contract fluctuated around $8. The 0.5 - cst cracking in Singapore declined, and the monthly spread was volatile. This week, Singapore's land inventory decreased, high - sulfur floating storage increased, low - sulfur floating storage increased, ARA's inventory decreased, floating storage inventory was volatile, and the US inventory decreased. Saudi Arabia's shipments decreased month - on - month, being moderately high compared to the same period, while Russia's shipments were neutral. Iran and Iraq accounted for about 15% - 20% of Singapore's high - sulfur imports, mainly affecting some bunkering and refinery feedstock in the Asia - Pacific region and not eligible for physical delivery on the futures market. It is expected that Iran's shipments will decline in the future due to US sanctions, and if the risk events in the Strait of Hormuz escalate, the impact will be greater. Recently, high - sulfur fuel oil is still in the peak power - generation season, with the overseas market operating strongly. The domestic and foreign near - month contracts of FU are under pressure, with low valuation and continued gaming. For far - month contracts, attention should be paid to the impact of supply disruptions. The domestic and foreign valuations of LU are high [6][7]. 2. Data Summary Rotterdam Fuel Oil Swap Data | Product | Change from 2025/06/20 - 2025/06/26 | | --- | --- | | Rotterdam 3.5% HSF Swap M1 | -0.89 | | Rotterdam 0.5% VLSFO Swap M1 | 5.33 | | Rotterdam HSFO - Brent M1 | -0.75 | | Rotterdam 10ppm Gasoil Swap M1 | 7.43 | | Rotterdam VLSFO - Gasoil M1 | -2.10 | | LGO - Brent M1 | 0.92 | | Rotterdam VLSFO - HSFO M1 | 6.22 | [3] Singapore Fuel Oil Swap Data | Product | Change from 2025/06/20 - 2025/06/26 | | --- | --- | | Singapore 380cst M1 | 2.38 | | Singapore 180cst M1 | 2.16 | | Singapore VLSFO M1 | -3.21 | | Singapore Gasoil M1 | -0.81 | | Singapore 380cst - Brent M1 | 0.89 | | Singapore VLSFO - Gasoil M1 | 2.78 | [3] Singapore Fuel Oil Spot Data | Product | Change from 2025/06/20 - 2025/06/26 | | --- | --- | | FOB 380cst | 3.56 | | FOB VLSFO | -4.12 | | 380 - cst Basis | 2.60 | | High - sulfur Domestic - Foreign Spread | -1.3 | | Low - sulfur Domestic - Foreign Spread | -6.1 | [5] Domestic FU and LU Contract Data | Contract | Change from 2025/06/20 - 2025/06/26 | | --- | --- | | FU 01 | -11 | | FU 05 | -2 | | FU 09 | 4 | | FU 01 - 05 | -9 | | FU 05 - 09 | -6 | | FU 09 - 01 | 15 | | LU 01 | -9 | | LU 05 | 0 | | LU 09 | -16 | | LU 01 - 05 | -9 | | LU 05 - 09 | 16 | | LU 09 - 01 | -7 | [5][6]

Report Information - Report Title: Asphalt Morning Report [2] - Research Team: Energy and Chemicals Team of the Research Center [3] - Report Date: June 27, 2025 [3] Key Data Summary Futures Contracts - **Prices**: On June 26, BU主力合约 was at 3563, down 11 from the previous day and 132 from the previous week; BU06 was at 3274, down 6 and 142 respectively; BU09 was at 3563, down 11 and 132; BU12 was at 3396, down 9 from the previous week; BU03 was at 3321, unchanged from the previous day and down 113 from the previous week [4]. - **Volume and Open Interest**: The trading volume on June 26 was 319,183, down 61,984 from the previous day and 40,161 from the previous week; the open interest was 497,438, down 13,001 from the previous day and 47,627 from the previous week [4]. - **Warehouse Receipts**: The warehouse receipts were 59,010, unchanged from the previous day and up 3,850 from the previous week [4]. Spot Market - **Prices**: On June 26, the low - end prices in Shandong, East China, South China, North China, and Northeast China markets were 3580, 3650, 3610, 3760, and 3920 respectively. The daily changes were - 20, 0, 0, - 20, - 30, and the weekly changes were - 20, - 30, - 10, - 20, - 10 [4]. - **Price Spreads**: The Shandong - East China spread was - 70, down 20 from the previous day and up 10 from the previous week; the Shandong - Northeast spread was - 340, up 10 from the previous day and down 10 from the previous week; the East China - South China spread was 40, unchanged from the previous day and down 20 from the previous week [4]. Basis and Monthly Spreads - **Basis**: The Shandong basis was 17, down 9 from the previous day and up 112 from the previous week; the East China basis was 87, up 11 from the previous day and up 102 from the previous week; the South China basis was 47, up 11 from the previous day and up 122 from the previous week [4]. - **Monthly Spreads**: For example, the 03 - 06 spread was 47, up 6 from the previous day and up 29 from the previous week; the 06 - 09 spread was - 289, up 5 from the previous day and down 10 from the previous week [4]. Crack Spreads and Profits - **Crack Spreads**: The asphalt Brent crack spread was 34, down 48 from the previous day and up 572 from the previous week [4]. - **Profits**: The asphalt Marrow profit was - 38, down 43 from the previous day and up 518 from the previous week; the ordinary refinery comprehensive profit was 584, down 55 from the previous day and up 529 from the previous week [4]. Related Prices - **Crude Oil and Refined Products**: On June 26, Brent crude oil was at 67.7, up 0.5 from the previous day and down 11.2 from the previous week; the Shandong market price of gasoline was 7926, down 71 from the previous day and 15 from the previous week; the Shandong market price of diesel was 6918, down 45 from the previous day and up 66 from the previous week; the Shandong market price of residue oil was 3725, down 75 from the previous day and 75 from the previous week [4].

Report Industry Investment Rating - Not provided Core Viewpoints - This week, the high-sulfur crack spread fluctuated, with crude oil prices rising significantly. High-sulfur fuel oil, with a large proportion of Iranian supply, performed well in terms of oil product profits. The 380-month spread fluctuated, with the August - September spread at $7.5, and the basis also fluctuated. The domestic FU showed a differentiation between near and far months, with the July contract dropping to around -$7 (it is expected that there will be a large amount of delivery goods), and the September contract fluctuating at around $8. The 0.5 crack spread in Singapore declined, and the month spread fluctuated. This week, onshore inventories in Singapore decreased, high-sulfur floating storage inventories increased, low-sulfur floating storage inventories increased, ARA inventories decreased, floating storage inventories fluctuated, and US inventories decreased. Saudi Arabia's shipments decreased month-on-month, remaining at a moderately high level compared to the same period, while Russia's shipments were neutral. Iran and Iraq account for about 15% - 20% of Singapore's high-sulfur imports, mainly affecting some bunkering and refinery feedstock in the Asia-Pacific region and cannot be used for physical delivery on the futures market. It is expected that Iran's shipments will decline in the future, mainly due to the impact of US sanctions. If the risk events in the Strait of Hormuz escalate, the impact magnitude will increase. Recently, high-sulfur fuel oil is still in the peak power generation season, with the overseas market performing strongly. The domestic FU near-month contracts are under pressure, with relatively low valuations, and the market game continues. For the far-month contracts, attention should be paid to the impact of supply disruptions. The domestic and overseas valuations of LU are relatively high. [4][5] Data Summaries Rotterdam Fuel Oil Swap Data - From June 19 to June 25, 2025, the prices of Rotterdam 3.5% HSF O swap M1, Rotterdam 0.5% VLS FO swap M1, and other related products changed. For example, the price of Rotterdam 3.5% HSF O swap M1 decreased from $481.08 to $414.85, with a change of $1.34. [2] Singapore Fuel Oil Swap Data - During the same period, the prices of Singapore 380cst M1, Singapore 180cst M1, and other related products also changed. For instance, the price of Singapore 380cst M1 decreased from $480.47 to $420.87, with a change of -$7.03. [2] Singapore Fuel Oil Spot Data - From June 19 to June 25, 2025, the FOB prices of Singapore 380cst and FOB VLSFO changed. The FOB 380cst price decreased from $485.32 to $424.16, with a change of -$7.46. [3] Domestic FU Data - The prices of domestic FU 01, FU 05, and FU 09 contracts changed. For example, the FU 01 contract price decreased from 3154 to 2874, with a change of -21. [3] Domestic LU Data - The prices of domestic LU 01, LU 05, and LU 09 contracts changed. The LU 01 contract price increased from 3787 to 3508, with a change of 8. [4]

Report Information - Report Date: June 25, 2025 [1] - Report Team: Research Center's Energy and Chemicals Team [1] Industry Investment Rating - Not provided Core Viewpoints - This week, the high-sulfur crack spread fluctuated, crude oil prices rose significantly, and high-sulfur fuel oil, with a large proportion of Iranian supply, performed well in terms of oil product profits. The 380-month spread fluctuated, with the August - September spread at $7.5, and the basis also fluctuated. The domestic and overseas spreads of FU showed differentiation between near and far months, with the July contract dropping to around -$7 (it is expected that there will be a large amount of delivery goods), and the September contract fluctuating around $8. The 0.5 crack spread in Singapore declined, and the month spread fluctuated. [4][5] - This week, land-based inventories in Singapore decreased, high-sulfur floating storage inventories increased, low-sulfur floating storage inventories increased, ARA inventories decreased, floating storage inventories fluctuated, and US inventories decreased. Saudi Arabia's shipments decreased month-on-month, and were moderately high compared to the same period. Russia's shipments were at a moderate level. Iran and Iraq account for about 15% - 20% of Singapore's high-sulfur imports, mainly affecting some bunker fueling and refinery feedstock in the Asia-Pacific region, and cannot be used for physical delivery in the futures market. It is expected that Iran's shipment volume will decline in the future, mainly due to the impact of US sanctions. If the risk events in the Strait of Hormuz escalate, the impact will be greater. [5] - Recently, high-sulfur fuel oil is still in the peak power generation season, the overseas market is running strongly, the domestic and overseas near-month spreads of FU are under pressure, the valuation is low, and the game continues. For the far-month contracts, attention should be paid to the impact of supply disruptions. The domestic and overseas valuations of LU are high. [5] Data Summary Rotterdam Fuel Oil Swap Prices | Type | 2025/06/18 | 2025/06/19 | 2025/06/20 | 2025/06/23 | 2025/06/24 | Change | | --- | --- | --- | --- | --- | --- | --- | | Rotterdam 3.5% HSF O Swap M1 | 457.84 | 481.08 | 464.95 | 460.60 | 413.51 | -47.09 | | Rotterdam 0.5% VLS FO Swap M1 | 497.59 | 517.59 | 508.06 | 509.41 | 466.22 | -43.19 | | Rotterdam HSFO - Brent M1 | -1.57 | -1.07 | -1.73 | -2.41 | -1.97 | 0.44 | | Rotterdam 10ppm Gasoil Swap M1 | 707.10 | 764.51 | 728.36 | 713.74 | 642.12 | -71.62 | | Rotterdam VLSFO - Gasoil M1 | -209.51 | -246.92 | -220.30 | -204.33 | -175.90 | 28.43 | | LGO - Brent M1 | 19.64 | 24.87 | 22.22 | 26.31 | 21.22 | -5.09 | | Rotterdam VLSFO - HSFO M1 | 39.75 | 36.51 | 43.11 | 48.81 | 52.71 | 3.90 | [2] Singapore Fuel Oil Swap Prices | Type | 2025/06/18 | 2025/06/19 | 2025/06/20 | 2025/06/23 | 2025/06/24 | | --- | --- | --- | --- | --- | --- | | Singapore 380cst M1 | 478.90 | 480.47 | 478.09 | 471.10 | 427.90 | | Singapore 180cst M1 | 484.42 | 487.41 | 487.09 | 481.07 | 436.97 | | Singapore VLSFO M1 | 538.95 | 542.99 | 544.13 | 540.67 | 501.16 | | Singapore Gasoil M1 | 93.34 | 96.69 | 96.50 | 93.65 | 85.76 | | Singapore 380cst - Brent M1 | 0.93 | 0.26 | -0.27 | -0.98 | -0.54 | | Singapore VLSFO - Gasoil M1 | -151.77 | -172.52 | -169.97 | -152.34 | -133.46 | [2] Singapore Fuel Oil Spot Prices | Type | 2025/06/18 | 2025/06/19 | 2025/06/20 | 2025/06/23 | 2025/06/24 | Change | | --- | --- | --- | --- | --- | --- | --- | | FOB 380cst | 486.91 | 485.32 | 479.12 | 475.90 | 431.62 | -44.28 | | FOB VLSFO | 548.13 | 550.77 | 550.33 | 549.45 | 508.57 | -40.88 | | 380 Basis | 7.55 | 4.65 | 2.70 | 3.65 | 2.75 | -0.90 | | High - Sulfur Domestic - Overseas Spread | 9.2 | 7.5 | 8.3 | 9.1 | 9.8 | 0.7 | | Low - Sulfur Domestic - Overseas Spread | 20.0 | 20.4 | 16.2 | 18.8 | 21.1 | 2.3 | [3] Domestic FU Futures Prices | Type | 2025/06/18 | 2025/06/19 | 2025/06/20 | 2025/06/23 | 2025/06/24 | Change | | --- | --- | --- | --- | --- | --- | --- | | FU 01 | 3119 | 3154 | 3152 | 3180 | 2895 | -285 | | FU 05 | 3044 | 3068 | 3079 | 3100 | 2850 | -250 | | FU 09 | 3333 | 3369 | 3363 | 3385 | 3065 | -320 | | FU 01 - 05 | 75 | 86 | 73 | 80 | 45 | -35 | | FU 05 - 09 | -289 | -301 | -284 | -285 | -215 | 70 | | FU 09 - 01 | 214 | 215 | 211 | 205 | 170 | -35 | [3] Domestic LU Futures Prices | Type | 2025/06/18 | 2025/06/19 | 2025/06/20 | 2025/06/23 | 2025/06/24 | Change | | --- | --- | --- | --- | --- | --- | --- | | LU 01 | 3733 | 3787 | 3766 | 3815 | 3500 | -315 | | LU 05 | 3531 | 3674 | 3687 | 3701 | 3421 | -280 | | LU 09 | 3886 | 3948 | 3917 | 3968 | 3629 | -339 | | LU 01 - 05 | 202 | 113 | 79 | 114 | 79 | -35 | | LU 05 - 09 | -355 | -274 | -230 | -267 | -208 | 59 | | LU 09 - 01 | 153 | 161 | 151 | 153 | 129 | -24 | [4]

Group 1: Report Information - Report title: "Asphalt Morning Report" [2] - Research team: Research Center Energy and Chemicals Team - Report date: June 25, 2025 [3] Group 2: Futures Data Futures Contracts - The prices of BU main contract, BU06, BU09, BU12, and BU03 on June 24 were 3580, 3301, 3580, 3417, and 3341 respectively, with daily changes of -201, -171, -201, -203, and -190, and weekly changes of -87, -349, -87, -82, and -82 [4]. Trading Volume and Open Interest - The trading volume on June 24 was 623,658, with a daily increase of 202,050 and a weekly increase of 180,885. The open interest was 531,329, with a daily decrease of 52,841 and a weekly decrease of 9,847 [4]. Warehouse Receipts - The number of warehouse receipts on June 24 was 59,010, with a daily and weekly increase of 3,850 [4]. Group 3: Spot Market Data Regional Low - end Prices - The low - end prices in Shandong, East China, South China, North China, and Northeast markets on June 24 were 3620, 3710, 3620, 3830, and 3980 respectively. The daily changes were 0, 0, -60, -50, and 0, and the weekly changes were 20, 30, 90, 50, and 50 [4]. Specific Spot Prices - The prices of Jingbo (Haiyun), Tianhai, and Xinhai (Xin Bohai) on June 24 were 3770, 3800, and 3830 respectively, with daily changes of -50, 0, and -50, and weekly changes of 70, 100, and 50 [4]. Price Differences between Regions - The price differences between Shandong - East China, Shandong - Northeast, and East China - South China on June 24 were -90, -360, and 90 respectively, with daily changes of 0, 0, and 60, and weekly changes of -10, -30, and -60 [4]. Group 4: Basis and Calendar Spread Data Basis - The Shandong, East China, and South China basis on June 24 were 40, 130, and 40 respectively, with daily increases of 201, 201, and 141, and weekly increases of 107, 117, and 177 [4]. Calendar Spread - The spreads of 03 - 06, 06 - 09, 09 - 12, and 12 - 03 on June 24 were 40, -279, 163, and 76 respectively, with daily changes of -19, 30, 2, and -13, and weekly changes of 267, -262, -5, and 0 [4]. Group 5: Crack Spread and Profit Data Crack Spread and Profits - The asphalt Brent crack spread on June 24 was -126, with a daily increase of 291 and a weekly increase of 282. The asphalt Marrow profit was -184, with a daily increase of 263 and a weekly increase of 254. The ordinary refinery comprehensive profit was 506, with a daily increase of 225 and a weekly increase of 377 [4]. Import Profits - The import profits from South Korea to East China and from Singapore to South China on June 24 were -119 and -790 respectively, with daily changes of 7 and -52, and weekly changes of -48 and 81 [4]. Group 6: Related Prices - The Brent crude oil price on June 24 was 71.5, with a daily decrease of 5.5 and a weekly decrease of 5. The gasoline, diesel, and residual oil prices in Shandong market on June 24 were 8113, 7068, and 3850 respectively, with daily changes of -43, -57, and -75, and weekly changes of 263, 253, and 75 [4].

Report Summary 1) Report Industry Investment Rating No investment rating information is provided in the report. 2) Core Viewpoints - In the short - term, with the expectation of increased supply, the chemical demand is expected to rise, which may boost the market in Shandong, while the markets in East and South China are more likely to fluctuate. The geopolitical situation has significantly escalated, and the US attack on three Iranian nuclear facilities is expected to have a large impact on the sentiment side, so cautious operation is recommended [1]. 3) Summary by Related Catalogs Market Price Data - From June 1 to June 24, 2025, the prices of South China LPG, East China LPG, Shandong LPG, Shandong ether - after carbon four, and Shandong alkylated oil showed certain fluctuations. For example, South China LPG increased from 4660 to 4695, with a daily change of 45 on June 24 [1]. - The prices of propane CFR South, propane CIF Japan, MB propane spot, and CP forecast prices also fluctuated, and there were daily changes such as - 25 for MB propane spot on June 24 [1]. - The paper import profit showed a change of 248 on June 24, and the主力基差 changed by 319 [1]. Market Analysis - The cheapest deliverable is East China civil gas at 4667. The PP price dropped significantly, FEI and CP prices tumbled, PDH production profit improved, and the FEI production cost is higher than that of CP. The PG futures market declined significantly, and the 07 - 09 spread remained at 99 [1]. - The US - to - Far - East arbitrage window is closed. Civil gas prices first rose and then fell due to continuous disturbances in international supply, but sufficient domestic supply and weak demand. The PG futures market strengthened unilaterally due to geopolitical impacts, the 07 contract basis weakened to 80 (- 141), and the spreads (07 - 08 and 07 - 09) weakened significantly [1]. - The outer - market prices continued to strengthen, and the oil - gas ratio increased. In terms of regional spreads, the internal - external spread continued to strengthen, FEI - MB strengthened slightly, while FEI - CP and MB - CP weakened [1]. Fundamental Analysis - In terms of fundamentals, port arrivals were delayed, chemical demand increased slightly, port inventories and storage capacity ratios decreased, factory inventories were basically flat, and external sales were basically unchanged [1]. - Chemical demand was supported, PDH and MTBE operating rates increased, and the alkylation rate was basically flat. Many PDH plants are expected to increase their loads in the future, which will drive up the PDH operating rate [1]. - The number of registered warrants decreased by 647 to 8358 hands, mainly due to a decrease of 270 in Jinneng Chemical and 377 in Shanghai Yuchi [1].

Report Summary 1. Report Industry Investment Rating - Not provided in the given content 2. Core Viewpoints - This week, the high - sulfur crack spread fluctuated. Crude oil prices rose significantly. High - sulfur fuel oil with a large proportion of Iranian supply performed well in terms of oil product profits. The 380 - cst monthly spread fluctuated, with the 8 - 9 month spread at $7.5. The basis fluctuated, and there was a differentiation between the near and far months of the FU inside - outside market. The 07 contract dropped to around -$7 (it is expected that there will be a large amount of delivery goods), and the 09 contract fluctuated at $8. The 0.5 - cst crack spread in Singapore declined, and the monthly spread fluctuated [5]. - This week, Singapore's on - land inventory decreased, high - sulfur floating storage inventory increased, low - sulfur floating storage inventory increased, ARA's inventory decreased, floating storage inventory fluctuated, and the US inventory decreased. Saudi Arabia's shipments decreased month - on - month, and the shipments were moderately high compared to the same period. Russia's shipments were neutral. Iran and Iraq accounted for about 15% - 20% of Singapore's high - sulfur imports, mainly affecting some bunkering and refinery feedstock in the Asia - Pacific region and not being able to participate in the physical delivery of the futures market. It is expected that Iran's future shipments will decline, mainly due to the impact of US sanctions. If the risk events in the Strait of Hormuz escalate, the impact scale will increase. Recently, high - sulfur fuel oil is still in the peak power - generation season, the external market is running strongly, the near - month contracts of the FU inside - outside market are under pressure, the valuation is low, and the game continues. Attention should be paid to the impact of supply interruption on the far - month contracts, while the inside - outside valuation of the LU is high [6]. 3. Summary by Relevant Data Rotterdam Fuel Oil Swap Data | Item | Change | | --- | --- | | 3.5% HSF O Swap M1 | -$4.35 | | 0.5% VLS FO Swap M1 | +$1.35 | | HSFO - Brent M1 | -$0.68 | | 10ppm Gasoil Swap M1 | -$14.62 | | VLSFO - Gasoil M1 | +$15.97 | | LGO - Brent M1 | +$4.09 | | VLSFO - HSFO M1 | +$5.70 | [3] Singapore Fuel Oil Swap Data | Item | Change | | --- | --- | | 380cst M1 | -$6.99 | | 180cst M1 | -$6.02 | | VLSFO M1 | -$3.46 | | Gasoil M1 | -$2.85 | | 380cst - Brent M1 | -$0.71 | | VLSFO - Gasoil M1 | +$17.63 | [3] Singapore Fuel Oil Spot Data | Item | Change | | --- | --- | | FOB 380cst | -$3.22 | | FOB VLSFO | -$0.88 | | 380 Basis | +$0.95 | | High - sulfur Inside - outside Spread | +$0.8 | | Low - sulfur Inside - outside Spread | +$2.6 | [4] Domestic FU Futures Data | Item | Change | | --- | --- | | FU 01 | +28 | | FU 05 | +21 | | FU 09 | +22 | | FU 01 - 05 | +7 | | FU 05 - 09 | -1 | | FU 09 - 01 | -6 | [4] Domestic LU Futures Data | Item | Change | | --- | --- | | LU 01 | +49 | | LU 05 | +14 | | LU 09 | +51 | | LU 01 - 05 | +35 | | LU 05 - 09 | -37 | | LU 09 - 01 | +2 | [5]

Report Information - Report Date: June 23, 2025 [2] - Report Team: Research Center Energy and Chemicals Team [2] Industry Investment Rating - Not provided Core Views - This week, high-sulfur cracking fluctuated, crude oil prices rose significantly, Iran accounted for a large proportion of high-sulfur supply, and it performed well in oil product profits. The 380-month spread fluctuated, the 8-9 spread was $7.5, the basis fluctuated, and there was a differentiation between near and far months of FU at home and abroad. The 07 contract dropped to around -$7 (it is expected that there will be a large amount of delivery goods), and the 09 contract fluctuated at $8. The 0.5 cracking in Singapore declined, and the month spread fluctuated [4]. - This week, land-based inventories in Singapore decreased, high-sulfur floating storage inventories increased, low-sulfur floating storage inventories increased, ARA inventories decreased, floating storage inventories fluctuated, and US inventories decreased. Saudi Arabia's shipments decreased month-on-month, and were moderately high compared to the same period. Russia's shipments were neutral. Iran and Iraq accounted for about 15%-20% of Singapore's high-sulfur imports, mainly affecting some bunkering and refinery feedstock in the Asia-Pacific region and cannot participate in physical delivery on the futures market. It is expected that Iran's shipments will decline in the future, mainly due to the impact of US sanctions. If the risk events in the Strait of Hormuz escalate, the impact will be greater. Recently, high-sulfur fuel oil is still in the peak power generation season, the overseas market is operating strongly, the near months of FU at home and abroad are under pressure, the valuation is low, and the game continues. Pay attention to the impact of supply disruptions in the far months. The domestic and overseas valuations of LU are high [4][5]. Data Summary Rotterdam Fuel Oil Swap Data | Product | Change from June 16 - 20 | | --- | --- | | Rotterdam 3.5% HSF O Swap M1 | -$16.13 | | Rotterdam 0.5% VLS FO Swap M1 | -$9.53 | | Rotterdam HSFO - Brent M1 | -$0.66 | | Rotterdam 10ppm Gasoil Swap M1 | -$36.15 | | Rotterdam VLSFO - Gasoil M1 | +$26.62 | | LGO - Brent M1 | -$2.65 | | Rotterdam VLSFO - HSFO M1 | +$6.60 | [2] Singapore Fuel Oil Swap Data | Product | Change from June 16 - 20 | | --- | --- | | Singapore 380cst M1 | -$2.38 | | Singapore 180cst M1 | -$0.32 | | Singapore VLSFO M1 | +$1.14 | | Singapore Gasoil M1 | -$0.19 | | Singapore 380cst - Brent M1 | -$0.53 | | Singapore VLSFO - Gasoil M1 | +$2.55 | [2] Singapore Fuel Oil Spot Data | Product | Change from June 16 - 20 | | --- | --- | | FOB 380cst | -$6.20 | | FOB VLSFO | -$0.44 | | 380 Basis | -$1.95 | | High-Sulfur Domestic-International Spread | +$0.8 | | Low-Sulfur Domestic-International Spread | -$4.2 | [3] Domestic FU Data | Product | Change from June 16 - 20 | | --- | --- | | FU 01 | -2 | | FU 05 | +11 | | FU 09 | -6 | | FU 01 - 05 | -13 | | FU 05 - 09 | +17 | | FU 09 - 01 | -4 | [3] Domestic LU Data | Product | Change from June 16 - 20 | | --- | --- | | LU 01 | -21 | | LU 05 | +13 | | LU 09 | -31 | | LU 01 - 05 | -34 | | LU 05 - 09 | +44 | | LU 09 - 01 | -10 | [4]