Softening rates after mid-January 2026 shows post-holiday forward booking and tonnage stabilization. The trend moves sideways thus indicating the demand is still supported albeit softer.
Commentary
Softening rates after mid-January 2026 shows post-holiday forward booking and tonnage stabilization. The trend moves sideways thus indicating the demand is still supported albeit softer.
OVERVIEW
Softening rates after mid-January 2026 shows post-holiday forward booking and tonnage stabilization. The trend moves sideways thus indicating the demand is still supported albeit softer.
Gasoline refining margins in Asia and Europe fell on Monday to near one-year lows due to oversupply from key exporters and swelling inventories at major hubs, traders and analysts said. By contrast, in the United States, margins held strong due to weather. (Reuters)
Oil prices rallied to $70 per barrel last week on worries about a US attack on Iran.
We continue to see China as gravitational player in tanker freight market, due to its role in crude importer and products exporter. The visitation of world leaders such as Canadian Prime Minister Mark Carney and UK Prime Minister Keir Starmer further signal they want access to China’s demand.
China’s jet fuel consumption still along with petrochemical feedstocks naphtha and liquified petroleum gases, is leading to growth in total petroleum consumption in China. .
Source: American Petroleum Institute (Click here to view more)
Apart the petroleum products, we also see the positive global market outlook for petrochemical which continues to be driven by sustainability trends promoting chemical recycling, and adopting bio-based feedstocks.
Source : Presedence Research (click here to view more)
On the macro level, sanctions in Iranian oil will persist and the EU is determined to cut the Rusia’s energy revenues by introducing full maritime services ban on Russian crude to replace price cap. This might push the Russia to India/China trade route and ships would be occupied longer thus push the freight upwards.
The tanker market is navigating a delicate balance between fleet growth and expected demand fundamentals. We continue to expect sideways rally in the freight rate market next week. There will be market dynamics which might affect the cargo flows, tonnage list, sanctions development and macro-driven demand catalysts.
Source: Ifchor Galbraiths (Click here to view more)
BUNKER PRICE UPDATES
TREND SUMMARY
Very Low Sulphur Fuel Oil (VLSFO)
Trend: Prices increased across all major bunkering hubs over the period. Singapore, Fujairah, Rotterdam, and Houston all ended the week higher than at the start, despite some mid-week volatility.
7-day change: The global average increased by approximately USD +14/mt on a 7-day basis.
Interpretation: The consistent week-on-week increase across all hubs indicates broadly firmer VLSFO pricing during the period. Gains were stronger than MGO on a global basis (+14.0 vs +8.0 USD/mt) and higher than HSFO (+14.0 vs +11.5 USD/mt), pointing to relatively better performance among the three grades over the week.
Marine Gas Oil (MGO)
Trend: Price movements were mixed across regions. Singapore and Fujairah recorded modest week-on-week increases, Rotterdam showed a stronger recovery toward the end of the period, while Houston declined over the week.
7-day change: The global market MGO price increased by USD +8.0/mt on a 7-day basis.
Interpretation: The overall weekly increase was smaller than those seen in VLSFO and HSFO, indicating comparatively weaker momentum on a global average basis. Regional divergence, particularly the decline in Houston, suggests that MGO strength during the period was uneven rather than broad-based.
Intermediate Fuel Oil (IFO 380 / HSFO)
Trend: Prices increased across major bunkering hubs, with Singapore, Fujairah, and Rotterdam all ending the period higher than at the start. Movements were upward but remained moderate.
7-day change: The global market HSFO price increased by USD +11.5/mt on a 7-day basis.
Interpretation: HSFO recorded a moderate week-on-week increase, outperforming MGO (+11.5 vs +8.0 USD/mt) but underperforming VLSFO (+11.5 vs +14.0 USD/mt) on a global basis. This places HSFO in a middle position in terms of weekly performance among the three grades.
News & Commentaries
Softening rates after mid-January 2026 shows post-holiday forward booking and tonnage stabilization. The trend moves sideways thus indicating the demand is still supported albeit softer.
Softening rates after mid-January 2026 shows post-holiday forward booking and tonnage stabilization. The trend moves sideways thus indicating the demand is still supported albeit softer.
Gasoline refining margins in Asia and Europe fell on Monday to near one-year lows due to oversupply from key exporters and swelling inventories at major hubs, traders and analysts said. By contrast, in the United States, margins held strong due to weather. (Reuters)
Oil prices rallied to $70 per barrel last week on worries about a US attack on Iran.
Source: Commodity.com
(Click here to view more)
We continue to see China as gravitational player in tanker freight market, due to its role in crude importer and products exporter. The visitation of world leaders such as Canadian Prime Minister Mark Carney and UK Prime Minister Keir Starmer further signal they want access to China’s demand.
China’s jet fuel consumption still along with petrochemical feedstocks naphtha and liquified petroleum gases, is leading to growth in total petroleum consumption in China. .
Source: American Petroleum Institute
(Click here to view more)
Apart the petroleum products, we also see the positive global market outlook for petrochemical which continues to be driven by sustainability trends promoting chemical recycling, and adopting bio-based feedstocks.
Source : Presedence Research
(click here to view more)
On the macro level, sanctions in Iranian oil will persist and the EU is determined to cut the Rusia’s energy revenues by introducing full maritime services ban on Russian crude to replace price cap. This might push the Russia to India/China trade route and ships would be occupied longer thus push the freight upwards.
Source: AXS Marine
(Click here to view more)
The tanker market is navigating a delicate balance between fleet growth and expected demand fundamentals. We continue to expect sideways rally in the freight rate market next week. There will be market dynamics which might affect the cargo flows, tonnage list, sanctions development and macro-driven demand catalysts.
Source: Ifchor Galbraiths
(Click here to view more)
TREND SUMMARY