The Baltic Exchange: Tanker report - Week 35
The Baltic Exchange: Tanker report – Week 35
Clean
LR2
LR2’s in the MEG showed signs of freight level improvement this week. TC1 took a 4.16-point step up to WS134.44 seeing the Baltic TCE of hold in the $27,000/day region). Meanwhile, a run to the UK-Continent on TC20 climbed circa $130,000 to $3,880,000.
West of Suez, Mediterranean/East LR2’s held stable around the $2,950,000 mark.
LR1
In the MEG, LR1’s saw similar incremental freight rises to their larger siblings. The TC5 index ultimately hopped up a modest 3.75 points to WS145 whilst for a trip to the UK-Continent on TC8, ended the week at $3,320,000 (up $156,000).
On the UK-Continent, TC16 improved for the second week on week, climbing 15% this week to WS155.94 (+20.94 points).
MR
MEG MR’s took a sharp retest back down this week coming under repeated pressure during the week. The TC17 subsequently shed 25 points to WS249.29. UK-Continent MR’s improved consistently through this week assisted by the notably strong Mediterranean market. TC2 rose to WS223.75 (+12.25) and similarly TC19 is currently pegged at WS233.13 (+10.94). This took the TC19 Baltic round trip TCE back over the $30,000/day level.
USG MR’s returned to a firmly upward course this week off the back of high fixing volume. TC14 returned back to WS144.58 after bottoming out at WS130 and TC18 followed an identical pattern flooring at WS230 to return to WS238.33 at time of writing. A voyage to the Caribbean on TC21 returned to $991,000 after reaching a nadir of $770,000.
The MR Atlantic Triangulation Basket TCE climbed from $34,521 to $35,720.
Handymax
In the Mediterranean, Handymax’s look to have hit the ceiling with the TC6 index topping out at WS279.56 is currently marked at WS267.5. Up on the UK-Continent, the TC23 index ticked up 6.67 points to WS192.5.
VLCC
The market in the Middle East slid down once again this week, although much of the deals concluded are on ‘compromised’ vessels either ex dry-dock, lacking an updated SIRE report or over-aged. It remains to be seen whether owners of non-‘compromised’ vessels can fare any better, thus far showing a lack of desire to compete. The rate for 270,000 mt Middle East Gulf to China lost four points to WS39.71 corresponding to a daily round-trip TCE of $10,173 basis the Baltic Exchange’s vessel description. The 280,000 mt Middle East Gulf to US Gulf trip (via the cape/cape routing) was assessed 1.5 points lower than a week ago at just below WS25.
For the Atlantic market, the 260,000 mt West Africa/China rate was reduced by 3.5 points to WS47.9 (which shows a round voyage TCE of $22,300/day). The rate for 270,000 mt US Gulf/China was reduced by $927,777 to $7,466,667 (about $24,500/day round trip TCE).
Suezmax
Suezmaxes in West Africa had another poor week and, although a number of ships have been quietly picked off by charterers, there is still not enough activity here (and in surrounding markets) for owners to get a decent grip on rates, facing persistent over supply of tonnage. Rates overall dropped about five points for the 130,000 mt Nigeria/Rotterdam trip to WS70.45 (a daily round-trip TCE of $16,000). In the Mediterranean and Black Sea region, there has been a little more interest in voyages to the east, but it is not enough to reverse the recent downward trend for the 135,000 mt CPC/Med route, and the panellists last assessed TD6 two points lower than a week ago at WS71.70 (showing a daily TCE of about $8,300 round-trip). In the Middle East, the rate for 140,000 mt Basrah/Lavera eased two points to WS57.33.
Aframax
In the North Sea, the rate for the 80,000 mt Hound Point/Wilhelmshaven route slipped two points to WS105 (showing a round-trip daily TCE of $9,800) despite the return of a busier Russian Baltic export programme for the first 10 days of September (reported to be 2.2 million tonnes, compared to 1.6 million for the first 10 days of August). In the Mediterranean market the rate for 80,000 mt Ceyhan/Lavera shed four points to WS102.33 (a daily round trip TCE of $14,500).
Across the Atlantic, in the Stateside Aframax market, the roller-coaster ride is back in effect but with shallower peaks and troughs than we have seen earlier this year. The rate for 70,000 mt East Coast Mexico/US Gulf fell nine points to WS120.63 (which shows a TCE of $17,450/day round trip) and for 70,000 mt Covenas/US Gulf, the market rate has had about six points taken out of it, to WS113.75 (a round-trip TCE of $15,500/day). The rate for the trans-Atlantic route of 70,000 mt US Gulf/Rotterdam has also lost about nine points to WS114.38 (a round trip TCE of $18,100/day).
Similar News
