Declining ship fuel prices equate to savings for containerized cargo shippers and lower costs for tanker and bulker owners.
Even if no oil moves under price caps, Russian exports could face deep discounts and continue to flow via “shadow tankers.”
Hopes that China will relax its zero-COVID policy are fading, raising concerns about shipping volume fallout.
Global energy trades face even more tumult ahead. “This could get crazy,” says Scorpio Tankers’ Robert Bugbee.
Some VLGCs carrying propane and VLCCs carrying crude have joined LNG carriers in shipping’s six-figures-per-day club.
Europe must replace all seaborne crude imports from Russia within the next few weeks. Crude tanker owners stand to gain.
Product-tanker share prices are up triple digits year to date as investors position for sanctions upside.
The “shadow fleet” is not large enough to save Russian oil exports from Western sanctions, according to multiple analysts.
As container shipping stocks get battered by collapsing rates, tanker shares could be poised for a long bull run.
The Biden administration has approved a controversial Jones Act waiver for Puerto Rico in the wake of Hurricane Fiona.
