Deciphering the dirty tanker record rally
The analysis attributes record VLCC rates to logistics and risk around Hormuz, vessel supply constraints, and supportive cargo demand. Global crude departures are lower than pre-war levels, but STS operations outside Hormuz bind vessel capacity. VLCC rates in the Atlantic Basin are priced above Suezmaxes, prompting shifts to smaller vessels.
Why it matters: This matters for the geopolitical risk theme because the record rally is driven by war-related attacks, pipeline disruption, and the emergence of a high-risk STS operation outside Hormuz.