Trans Atlantic Tanker Rates Higher
Clean tanker rates on the transatlantic route edged higher on Monday helped by light bookings although the market continued to struggle with a glut of vessels. Rates for medium-range (MR) tankers for 37,000 tonne cargoes on the TC2 route from Rotterdam to New York were at W124.38 in the Worldscale measure, or $8,306 a day when translated into average earnings. That compared with W122.50 or $8,048 a day on Friday and W129.17 or $9,368 last Monday. "Rates on the Europe - U.S. East Coast route declined 11.1 percent week-on-week as available capacity continued to put downside pressure on rates for cargoes out of the region," Deutsche Bank analyst Justin Yagerman said on Monday. In January, earnings reached their highest level since early August last year.
Mideast Crude Tanker Earnings Slip, Ukraine Watched
Crude oil tanker earnings on the major Middle East route fell on Tuesday as a build up of vessels available for hire weighed on rate sentiment. Shipping markets continued to monitor developments in Ukraine after Russia sent military forces into the Crimea region of southern Ukraine. Russian President Vladimir Putin said Moscow would only use military force in Ukraine as a last resort. A U.S. official said it was ready to impose economic sanctions on Russia. The world's benchmark VLCC export route from the Middle East Gulf (MEG) to Japan reached W50.73 in the Worldscale measure of freight rates, or $25,765 a day when translated into average earnings. That compared with W51.33 or $27,219 a day on Monday and W55.05 or $32,176 a day last Tuesday.
