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WAF VLCC Market Stabilises After Volatile Q1: Platts

FREIGHT

The WAF market for VLCCs has seen freight rates flatline for the past two weeks amid heightened volatility in February and March, according to Platts.

  • The WAF Far-East route was assessed at $23.06/b April 9, with rates in the range of $23.06-$23.60/mt since March 25.
  • The stabilising of tonnage was attributed to a rebalancing of fundamentals in the Atlantic and Persian Gulf.
  • "We had a large number of the fleet in West positions compared to East, whereas more recently they have been fairly well balanced, and tonnage has remained in line with monthly averages," a source told Platts.
  • Another factor driving volatility has been the ageing fleet, with a larger proportion of vessels unable to load certain cargoes, creating tonne crunches, Platts said.
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The WAF market for VLCCs has seen freight rates flatline for the past two weeks amid heightened volatility in February and March, according to Platts.

  • The WAF Far-East route was assessed at $23.06/b April 9, with rates in the range of $23.06-$23.60/mt since March 25.
  • The stabilising of tonnage was attributed to a rebalancing of fundamentals in the Atlantic and Persian Gulf.
  • "We had a large number of the fleet in West positions compared to East, whereas more recently they have been fairly well balanced, and tonnage has remained in line with monthly averages," a source told Platts.
  • Another factor driving volatility has been the ageing fleet, with a larger proportion of vessels unable to load certain cargoes, creating tonne crunches, Platts said.