Ain’t That the Cure for the Summertime Blues

It seems that there is somewhat of a renewed optimism in the tanker market. Whether it is warranted or not, remains to be seen. With half of the year now behind us, a fresh look at oil demand fundamentals reveals stronger-than-anticipated growth in both OECD and non-OECD countries, according to the International Energy Agency (IEA). In addition, this week, pockets of the spot tanker market showed surprising signs of life after what could generally be considered a fairly quiet May and June. While it is likely too soon to assess the longevity of positive support in freight rates, demand growth coupled with seeming supply moderation could be an early indication that the market at least has the potential for rebalance. Download here