Report Summary 1. Industry Investment Rating No information provided. 2. Core Viewpoints - This week, the near - month spread of Singapore 380cst declined, the crack spread fluctuated downward, Singapore's residual oil inventory increased significantly, and the internal - external spread of FU weakened. The low - sulfur crack spread fluctuated, the month - spread oscillated at a low level, and the basis weakened. In terms of inventory, Singapore's fuel oil inventory increased significantly, EIA's residual oil inventory increased slightly, ARA's residual oil inventory decreased, and Fujairah's inventory decreased. Under the new situation in Venezuela, heavy oil logistics is tilted towards the United States, Canadian heavy oil is seeking new buyers. Recently, there has been concentrated arrival in Singapore's high - sulfur market, EW has weakened, the Iranian situation affects heavy oil valuation, and the internal - external spread of FU is short - term bearish. The low - sulfur external market maintains weak operation [3][4]. 3. Summary by Relevant Catalogs Rotterdam Fuel Oil Data - The prices of Rotterdam 3.5% HSF O swap M1, 0.5% VLS FO swap M1, 10ppm Gasoil swap M1, etc. changed from February 6th to February 12th, 2026. For example, the price of Rotterdam 3.5% HSF O swap M1 decreased by 15.05, and the price of 0.5% VLS FO swap M1 decreased by 15.24 [1]. Singapore Fuel Oil Data - **Swap Data**: The prices of Singapore 380cst M1, 180cst M1, VLSFO M1, etc. changed from February 6th to February 12th, 2026. For example, the price of Singapore 380cst M1 decreased by 1.74, and the price of 180cst M1 increased by 5.24 [1]. - **Spot Data**: The FOB prices of 380cst and VLSFO in Singapore changed from February 6th to February 12th, 2026. The FOB 380cst price increased by 5.48, and the FOB VLSFO price increased by 0.52. The 380cst basis increased by 1.00 [2]. Domestic FU Data - The prices of FU 01, FU 05, FU 09, etc. and their spreads changed from February 6th to February 12th, 2026. For example, the price of FU 01 increased by 8, and the spread between FU 01 - 05 decreased by 20 [2]. Domestic LU Data - The prices of LU 01, LU 05, LU 09, etc. and their spreads changed from February 6th to February 12th, 2026. For example, the price of LU 01 increased by 15, and the spread between LU 01 - 05 increased by 11 [3].

1. Report's Investment Rating for the Industry - No information provided 2. Core Viewpoints of the Report - This week, the near - month of Singapore 380cst continued to strengthen, reaching the five - year high year - on - year. After the crack spread rose, it fluctuated. The short - term arbitrage logistics tightened, and the Singapore residue inventory decreased significantly. The MF0.5 low - sulfur crack spread declined, reaching a historical low year - on - year, and the monthly spread was at a historical low for the same period. In terms of inventory, Singapore fuel oil significantly reduced inventory, EIA residue continued to reduce inventory, ARA residue accumulated inventory, and Fujairah's inventory accumulation accelerated. Under the new situation in Venezuela, heavy - oil logistics tilted towards the United States, Canadian heavy oil sought new buyers, and the price of Merey crude oil rose. Recently, the situation in Iran and arbitrage logistics affected 380. The high - sulfur spot tightened, the crack spread rebounded, and in the short term, high - sulfur had the strongest driving force among oil products. Attention should be paid to over - heating of domestic and foreign sentiment, and the low - sulfur external market remained weak [3][4] 3. Summary According to Relevant Catalogs Rotterdam Fuel Oil Swap Data - From January 30 to February 5, 2026, the price of Rotterdam 3.5% HSFO swap M1 changed by 1.34, the 0.5% VLSFO swap M1 changed by - 1.83, the HSFO - Brent M1 changed by 0.19, the 10ppm Gasoil swap M1 changed by 2.90, the VLSFO - GO M1 changed by - 4.73, the LGO - Brent M1 had no change, and the VLSFO - HSFO M1 changed by - 3.17 [1] Singapore Fuel Oil Swap Data - During the same period, the price of Singapore 380cst M1 changed by 2.17, 180cst M1 changed by - 0.81, VLSFO M1 changed by - 3.82, GO M1 changed by - 0.27, 380cst - Brent M1 changed by 0.53, and VLSFO - GO M1 changed by - 1.82 [1] Singapore Fuel Oil Spot Data - From January 30 to February 5, 2026, the FOB 380cst price changed by 7.14, FOB VLSFO changed by 7.54, the 380 basis changed by - 1.00, the high - sulfur domestic - foreign price difference changed by - 1.0, and the low - sulfur domestic - foreign price difference changed by 1.3 [2] Domestic FU Data - During the same period, FU 01 changed by 5, FU 05 changed by 25, FU 09 changed by 18, FU 01 - 05 changed by - 20, FU 05 - 09 changed by 7, and FU 09 - 01 changed by 13 [2] Domestic LU Data - From January 30 to February 5, 2026, LU 01 changed by - 17, LU 05 changed by 21, LU 09 changed by 28, LU 01 - 05 changed by - 38, LU 05 - 09 changed by - 7, and LU 09 - 01 changed by 45 [3]

Report Industry Investment Rating - Not provided Core Viewpoints - This week, the near - month contract of Singapore 380cst continued to strengthen, reaching a five - year high. After the crack spread rose, it entered a consolidation phase. Short - term arbitrage logistics tightened, and Singapore's residue inventory decreased significantly. The low - sulfur crack spread of MF0.5 declined, reaching a historical low, and the month - to - month spread was at a historical low for the same period. In terms of inventory, Singapore's fuel oil inventory decreased significantly, EIA residue inventory continued to decline, ARA residue inventory increased, and Fujairah's inventory increase accelerated. Under the new situation in Venezuela, heavy - oil logistics is tilted towards the United States, Canadian heavy oil is seeking new buyers, and the price of Merey crude oil has risen. Recently, the situation in Iran and arbitrage logistics have affected 380, the high - sulfur spot market has tightened, and the crack spread has rebounded. In the short term, high - sulfur fuel oil has the strongest driving force among oil products. However, attention should be paid to over - heating of domestic and foreign sentiment, and the overseas low - sulfur market remains weak [3][4] Summary by Relevant Catalogs Rotterdam Fuel Oil Data - From January 29 to February 4, 2026, the price of Rotterdam 3.5% HSF O swap M1 increased by 10.79, Rotterdam 0.5% VLS FO swap M1 increased by 12.25, Rotterdam HSFO - Brent M1 increased by - 0.14, Rotterdam 10ppm Gasoil swap M1 increased by 18.00, Rotterdam VLSFO - Gasoil M1 increased by - 5.75, LGO - Brent M1 remained unchanged, and Rotterdam VLSFO - HSFO M1 increased by 1.46 [1] Singapore Fuel Oil Swap Data - From January 29 to February 4, 2026, Singapore 380cst M1 increased by 22.59, Singapore 180cst M1 increased by 24.27, Singapore VLSFO M1 increased by 19.86, Singapore Gasoil M1 increased by 2.99, Singapore 380cst - Brent M1 increased by 0.90, and Singapore VLSFO - Gasoil M1 increased by - 2.27 [1][9] Singapore Fuel Oil Spot Data - From January 29 to February 4, 2026, FOB 380cst increased by 12.26, FOB VLSFO increased by 11.71, the 380 basis decreased by 0.86, the high - sulfur domestic - foreign price difference decreased by 0.3, and the low - sulfur domestic - foreign price difference increased by 0.2 [2] Domestic FU Data - From January 29 to February 4, 2026, FU 01 increased by 49, FU 05 increased by 86, FU 09 increased by 69, FU 01 - 05 decreased by 37, FU 05 - 09 increased by 17, and FU 09 - 01 increased by 20 [2] Domestic LU Data - From January 29 to February 4, 2026, LU 01 increased by 100, LU 05 increased by 95, LU 09 increased by 86, LU 01 - 05 increased by 5, LU 05 - 09 increased by 9, and LU 09 - 01 decreased by 14 [3]

Report Summary 1. Investment Rating No investment rating information is provided in the report. 2. Core View - This week, the near - term contract of Singapore 380cst continued to strengthen, reaching a five - year high. The crack spread rose and then fluctuated. Short - term arbitrage logistics tightened, and Singapore's residual fuel oil inventory decreased significantly. The low - sulfur crack spread of MF0.5 declined, reaching a historical low, and the monthly spread was at a historical low for the same period. In terms of inventory, Singapore's fuel oil inventory decreased significantly, EIA's residual fuel oil inventory continued to decline, ARA's residual fuel oil inventory increased, and Fujairah's inventory accumulation accelerated. Under the new situation in Venezuela, heavy - oil logistics tilted towards the United States, Canadian heavy oil was seeking new buyers, and the price of Merey crude oil rose. Recently, the situation in Iran and arbitrage logistics affected 380, the high - sulfur spot market tightened, the crack spread rebounded, and in the short term, high - sulfur had the strongest driving force among oil products. Attention should be paid to over - heating of domestic and foreign sentiment, and the low - sulfur external market remained weak [3][4] 3. Data Summary Rotterdam Fuel Oil | Product | 2026/01/26 | 2026/01/30 | Change | | --- | --- | --- | --- | | Rotterdam 3.5% HSF O swap M1 | 344.81 | 374.71 | 4.19 | | Rotterdam 0.5% VLS FO swap M1 | 393.32 | 420.56 | 4.83 | | Rotterdam HSFO - Brent M1 | - 10.27 | - 11.05 | 0.21 | | Rotterdam 10ppm Gasoil swap M1 | 655.75 | 716.50 | 25.65 | | Rotterdam VLSFO - Gasoil M1 | - 262.43 | - 295.94 | - 20.82 | | LGO - Brent M1 | 24.28 | 25.95 | 2.03 | | Rotterdam VLSFO - HSFO M1 | 48.51 | 45.85 | 0.64 | [1] Singapore Fuel Oil | Product | 2026/01/26 | 2026/01/30 | Change | | --- | --- | --- | --- | | Singapore 380cst M1 | 393.49 | 407.65 | - | | Singapore 180cst M1 | 393.26 | 409.34 | - | | Singapore VLSFO M1 | 442.56 | 452.99 | - | | Singapore Gasoil M1 | 85.62 | 88.58 | - | | Singapore 380cst - Brent M1 | - 3.00 | - 4.13 | - | | Singapore VLSFO - Gasoil M1 | - 191.03 | - 202.50 | - | [1] Singapore Fuel Oil Spot | Product | 2026/01/26 | 2026/01/30 | Change | | --- | --- | --- | --- | | FOB 380cst | 397.16 | 412.42 | - 0.10 | | FOB VLSFO | 445.54 | 455.54 | - 4.21 | | 380 basis | 4.55 | 8.15 | 0.85 | | High - sulfur domestic - foreign price difference | 14.8 | 19.3 | - 3.6 | | Low - sulfur domestic - foreign price difference | 18.7 | 21.3 | - 1.9 | [2] Domestic FU | Product | 2026/01/26 | 2026/01/30 | Change | | --- | --- | --- | --- | | FU 01 | 2589 | 2652 | - 1 | | FU 05 | 2745 | 2803 | - 12 | | FU 09 | 2646 | 2715 | - 11 | | FU 01 - 05 | - 156 | - 151 | 11 | | FU 05 - 09 | 99 | 88 | - 1 | | FU 09 - 01 | 57 | 63 | - 10 | [2] Domestic LU | Product | 2026/01/26 | 2026/01/30 | Change | | --- | --- | --- | --- | | LU 01 | 3248 | 3341 | 15 | | LU 05 | 3194 | 3264 | - 40 | | LU 09 | 3211 | 3272 | - 19 | | LU 01 - 05 | 54 | 77 | 55 | | LU 05 - 09 | - 17 | - 8 | - 21 | | LU 09 - 01 | - 37 | - 69 | - 34 | [3]

Group 1 - The domestic futures market for fuel oil is experiencing fluctuations, with the main contract opening at 2486.00 CNY/ton and showing a decline of approximately 1.77% [1] - The market is characterized by sufficient supply and a slowdown in demand due to holidays, with geopolitical risks providing some support for prices [1] - Major institutions predict that the fuel oil market will continue to operate within specific ranges, with FU2603 expected to trade between 2450-2500 CNY and LU2603 between 2980-3030 CNY [1] Group 2 - Recent maintenance at the Malaysia Rapid refinery has concluded, leading to a reduction in low-sulfur supply, while other refineries are also resuming operations, improving supply conditions [2] - The demand side remains stable, with sufficient spot market supply and ample quotas in China, although overall low-sulfur fundamentals appear weak [2] - The market outlook suggests a cautious approach due to limited driving factors for cracking margins [2]

Group 1: Report Industry Investment Rating - No relevant content Group 2: Core Viewpoints - Low - sulfur fuel oil: Pay attention to the impact of changes in refinery equipment and oil fields on supply. The export of Sudan's low - sulfur Nile crude is affected by the shutdown of Heglig oil field, and the raw materials mainly flow to East Asia. The gasoline unit maintenance plan of Dangote refinery has changed, with the inspection time postponed and the duration shortened, resulting in less than expected near - term low - sulfur supply increase. The delayed return of Al - Zour refinery equipment supports the low - sulfur market. The return of Malaysia's RFCC unit is delayed, and the newly commissioned RFCC in Indonesia operates at a low load. On the demand side, there is no driving force for low - sulfur winter power generation demand, and attention should be paid to winter temperatures and natural gas conditions in Europe and East Asia [7] - High - sulfur fuel oil: The spot premium of high - sulfur fuel oil remains at a low level, and it is expected to maintain a stable and weak situation in the fourth quarter. Although Russian energy facilities are attacked, the export volume of high - sulfur fuel oil is revised upwards, and the overall export volume is not greatly affected. The near - term high - sulfur export from Mexico has increased significantly. On the demand side, a new batch of crude oil quotas in 2026 is expected to be issued in advance in November, and the quota volume is significantly higher than that at the end of last year, resulting in a weakening of fuel feed demand [7] Group 3: Summary by Directory Part 1: Relevant Data - **Futures prices**: The price of FU main contract decreased from 2508 on December 8, 2025, to 2418 on December 9, 2025, a decrease of 90; the price of LU main contract decreased from 3089 to 3014, a decrease of 75 [3] - **Futures positions**: The position of FU main contract increased from 17.7 million hands on December 8, 2025, to 18.7 million hands on December 9, 2025, an increase of 1.0 million hands; the position of LU main contract decreased from 5.8 million hands to 5.6 million hands, a decrease of 0.2 million hands [3] - **Warehouse receipts**: The FU warehouse receipts decreased from 26090 tons on December 8, 2025, to 6100 tons on December 9, 2025, a decrease of 19990 tons; the LU warehouse receipts decreased from 370 to 40, a decrease of 330 [3] - **Spreads**: The FU1 - 5 spread decreased from - 65 to - 70, a decrease of 5; the LU1 - 2 spread decreased from - 18 to - 25, a decrease of 7; the LU - FU main contract spread increased from 581 to 596, an increase of 15; the FU01 - outer market 12 spread decreased from 8.8 to 4.9, a decrease of 3.9; the LU02 - outer market 01 spread increased from 10.1 to 10.4, an increase of 0.3 [3] Part 2: Market Research and Judgment - **Market overview**: In the Singapore paper market, the high - sulfur Dec/Jan monthly spread remains at - 3.5 US dollars/ton, and the low - sulfur Dec/Jan monthly spread is from - 1.5 to - 1.8 US dollars/ton [5] - **Important information**: India's HPCL tendered to sell 33,000 tons of high - sulfur fuel oil (HSFO), to be loaded at Vizag from December 28 to 30, and the tender ended on December 9 [6] - **Market trend judgment**: As mentioned in the core viewpoints section [7] Part 3: Relevant Attached Figures - The report provides six figures, including Singapore high - sulfur and low - sulfur spot premiums, Singapore high - low sulfur spreads, Singapore LSFO - GO, high - sulfur fuel oil cracking, and low - sulfur fuel oil cracking, with data sources from Galaxy Futures and Reuters [9]