Tanker Market

The tanker market is faced with slow demand growth, which has led to a softening of the freight rate market over the course of the past few months. In its latest weekly note, shipbroker Allied Shipbroking said that “despite the efforts being made by oil producing nations and especially efforts being made by OPEC members, we have seen limited gains in terms of pricing for crude oil in the year to date. Despite most expectations that were being made during the end of 2016 of the average price of crude reaching in the US$ 60 per barrel, prices have stubbornly held at around US$ 50 per barrel never reaching levels above US$ 55 per barrel. In part this is a reflection of the limited and not so aggressive commitment by OPEC members to curb their output”.