The Baltic Briefing has issued the tanker report for the 41st week of this year. The report dated 09th October 2020 provides a valuable insight into this week’s tanker market dealings, freight rates, and charter activities.
VLCC
Another week of mostly static rates. There were no changes in rates or sentiment in the Middle East with 280,000mt to USG via the Cape/Cape routing remaining assessed at a shade above WS17 and 270,000mt to China hovering around WS26.5.
In the Atlantic, rates for 260,000mt West Africa to China are unchanged at WS30/31. Voyages of 270,000mt USG to China are valued at $4.8m, up about $200k from a week ago.
Suezmax
Rates for 135,000mt Black Sea/Med are again pegged at WS45. In the 130,000mt Nigeria/UK Continent market, charterers were able to snatch back 2.5 points to WS32.5 level.
In the Middle East market sentiment remains depressed and 140,000mt Basrah/Med is now assessed at about W13.5 – almost a point less than a week ago.
Aframax
The 80,000mt Ceyhan/Med market remains rooted at WS57.5. In Northern Europe rates for 80,000mt Cross-North Sea eased a point or two to WS71.5 and 100,000mt Baltic/UKC lost five to six points to WS36.25.
On the other side of the Atlantic rates for 70,000mt Carib/USGulf lost another six points to WS46 region and 70,000mt USG/UKC is now rated at WS40, down a further five points since last week.
Clean
The start of the week saw rates in the 75,000mt Middle East Gulf/Japan trade firm 7.5 points to WS75 and thereafter have held at this level.
In the LR1 trade, a busier week saw owners able to push rates up – albeit by a modest 2.5 points – and the market has settled now at WS72.5. However, brokers feel that with little outstanding business and not a lot expected in the immediate fixing window, owners will struggle to achieve further increases.
At the start of this week the market for 37,000mt UKC/USAC stood at WS85 – but has since been under relentless downward pressure. WS75 was paid on tonnage with last cargo palms.
The feeling is that even tonnage with a conventional clean last cargo background will find it difficult to achieve a premium here. The backhaul trade has been very quiet, with rates for 38,000mt from US Gulf to UK Continent drifting back down from WS72.5 region to barely mid WS60S.
Meanwhile, in the US Gulf/Brazil trade, rates now sit at WS92.5 – down 12.5 points from the start of the week. The 30,000mt clean cross-Med trade had another miserable week with rates easing just over five points to barely WS70 level.
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Source: Baltic Exchange
