SINGAPORE: Asia’s 10-ppm sulphur gasoil cash premiums rebounded on Wednesday, as firm buying interest from a China major remained for mid-February parcels.

Cash differentials for 10 ppm sulphur gasoil were valued at $2.95 a barrel.

March and April cargoes were being snapped up under private discussions as well by the same buyer, with some participants believing there could be location swap demand present for arbitrage trade.

Exact details, however, could not be ascertained.

This was amid much lower stock levels in the United States and Fujairah.

However, refining margins for 10 ppm sulphur gasoil declined for the fifth consecutive trading session to around $31 a barrel, amid upstream stronger oil futures performance. Jet fuel refining margins likewise trended lower and at a faster pace to $30.32 a barrel, resulting in narrower regrade values at a discount of 70 cents.

The market came under slight pressure after continuous selling interest emerged over the past two weeks for prompt February loading jet fuel from northeast Asia refiners.