Dirty Tankers West of Suez Commentary.

Catogory : Market Report

Aframax rates spiked in the Black sea, but sentiment remained soft in the Suezmax market due to the long tonnage list, sources said. Suezmax trading has been lively in the Persian Gulf which will reduce the number of ballasters heading west but demand is stagnant in West Africa, sources said. The WAF to UK Continent Suezmax route, basis 130,000 mt, was valued flat at w72.5, basis Worldscale 2017.
The Black Sea to Mediterranean Aframax route was assessed at w102.5, w7.5 higher, and basis Worldscale 2018. The position list has thinned out quickly in the last few dates as charterers have started covering January 20-25 loading dates and the Black sea has maintained a premium over the Mediterranean as there are fewer vessels willing or able to meet the current loading window. The Aframax market in the North is very slow by comparison and the Baltic to UK Continent route, basis 100,000 mt, was valued at w67.5, w0.75 higher, and basis 2018. Charterers have been slow to return to the Baltic market and though there has been some cargo moving to the US out of the North Sea, the position list is still too long to see a significant change in rates, sources said. Black Sea fuel oil trading picked up today, clearing some of the prompt tonnage in the Eastern Mediterranean, but it will take more sustained demand for prices to firm, sources said. The Black Sea to Mediterranean Handysize fuel oil route, basis 30,000 mt, was valued flat at w187.5, basis 2017.