MARKET NEWS
EMF – Weekly 18
5 days AGO
TankerS
Houthi attacks expected to continue to year end 2024 – Maersk
In recent weeks, tanker markets have focused on the ongoing strength created by growing ton-miles, driven by growing supply from the US, Brazil, and Guyana. Shipbroker Poten last week in their newsletter focused on similar ton-mile growth, instead driven by Namibia, as “based on current discoveries alone, Namibia could produce 500,000 b/d within a decade and more than 1 million b/d on a longer-term basis”. Growing supply from non-Middle East nations is increasing the fragmentation of global crude supply and contributing to greater ton-miles, which can drive tanker demand for years to come.
“Namibia to drive tanker demand as crude production is scaled-up”
Disruptions in the Red Sea, caused by Houthi attacks on vessels in the region, are worsening, according to container giant Maersk. The company is now expecting the disruptions to last until the end of the year. This comes as Israel rejected a ceasefire and hostage release proposal mediated by Qatar and Egypt, which had been accepted by Hamas. Ongoing attacks in the Red Sea continue to support increased ton-miles for the tanker market.
Freight rate
Aframax ECO, 12 months TC
Aframax, Average spot
Suezmax ECO, 12 months TC
Suezmax, Average spot
Source: Clarksons Research
Dry Bulk
Bulk markets move higher on stronger demand from major regions
Capesize rates gained again as volatility remains high in the vessel segment driven on the back of fresh demand from all major load regions.
“Bulk rates gain despite areas of holiday weakness”
Panamax rates were more steady as global holidays took some key players out of the market. Overall rates moved slightly higher as demand from Australia overcame other areas of weakness on a fleet-weighted basis. Handy rates fell slightly on weaker holiday demand, particularly in the Atlantic, and somewhat offset by stronger demand from Russian business and the Pacific.
Freight rate
Capesize, 12 months TC
Kamsarmax, 12 months TC
Source: Clarksons Research
car carrier
Grimaldi Group acquires >5% stake in Hoegh Autoliners as Norwegian Car Carriers remain in focus
Last week news of MSC’s acquisition bid for Norwegian-listed Gram Car Carriers highlighted Norwegian PCTC owners, and this week, another Italian shipping company, the Grimaldi Group, acquired a 5.12% stake in Hoegh Autoliners, becoming the second largest owner in the company. Norwegian analysts speculate that the Grimaldi Group could be lining up a takeover offer but have yet to reveal their intentions. The MSC offer and the >5% stake built by the Grimaldi Group are a signal that others want in on the PCTC action as rates remain high and vehicle exports from Asia continue to grow.
Freight rate
5000 CEU – 12 months TC
6500 CEU – 12 months TC
Tankers
Indicative TC (1 year)
Type | Tons | + /- | ||
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VLCC | ||||
Suemax | ||||
Aframax | ||||
MR |
Indicative Values
Type | Resale | 5y | 10y | |
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VLCC | ||||
Suemax | ||||
Aframax | ||||
MR |
Dry Bulk
Indicative TC (1 year)
Type | Tons | + /- | ||
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Capesize | ||||
Panamax | ||||
Supramax | ||||
Handysize |
Indicative Values
Type | Resale | 5y | 10y | |
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Capesize | ||||
Panamax | ||||
Supramax | ||||
Handysize |