R. Strand retweeted
🇫🇷 FRENCH DEFAULT RISK REMAINS NEAR MULTI-YEAR HIGHS
The cost of insuring French government debt against default remains elevated as political instability and fiscal concerns weigh on investor confidence.
France’s 5-year sovereign CDS stands at 80 basis points, just below last week’s multi-year high of 84 basis points.
Investors are watching whether the government can secure parliamentary support for its 2027 budget and proposed spending cuts, amid growing concerns over France’s debt sustainability.
R. Strand retweeted
and it starts...
"CSN Mineracao has temporarily reduced lower-grade iron ore production at its Pires Complex dry processing plant, due to challenging market conditions including higher freight costs."
per below..👇
R. Strand retweeted
The first VLCC (9734642) loading in North Sea to China since April. Dated Brent gets a boost
R. Strand retweeted
Panama Canal transit just got VERY expensive. SK Gas paid a record $5.3M for an expedited LPG transit vs $4.6M earlier this month. Ships without slots face waits of up to 11 days. And capacity is falling from 34 → 32 ships/day in September.
R. Strand retweeted
The margin for making diesel from crude oil in the US has soared to more than $100 a barrel, setting new all-time highs as a global fuel-making crunch continues to exacerbate fuel prices.
The widely watched gauge, known as the diesel crack spread, hovered around $100 a barrel on Tuesday down slightly from record highs over $102 a barrel. The spread settled in triple digits for the first time on Monday.
Before this year, the measure had never risen above $89 a barrel, with the prior record set in October 2022 as the world grappled with a shortage of the fuel heading into the first winter of the Russia-Ukraine war.
#oott bloomberg.com/news/articles/…
R. Strand retweeted
Got VLGCs?
tradewindsnews.com/container… – at Ålesund, Norway
R. Strand retweeted
🚨🇺🇸 Trump posted his executive order to Truth Social, enabling the DoE to use the Defense Production Act to restart the Sable Pipeline.
"The Secretary of Energy will issue an order today that results immediate production of 50,000 barrels of oil per day, increasing offshore oil production in California by 550%.
The pipeline will unleash 20 million barrels of oil equivalent per year... preempts radical California climate laws."
It's been mostly bad news for the oil markets lately (still very much so, regardless of this), but this is something positive, at least.
Source: Truth Social / Writer: Michael
R. Strand retweeted
For those not familiar with the logistics surrounding the alternative routes for Saudi crude if the Bab el-Mandeb Strait becomes shut <editted>:
1⃣ You normally load VLCCs (Very Large Crude Carriers) which take 2 mb of crude from Yanbu currently and Ras Tanura when Strait of Hormuz is open.
2⃣ These VLCCs are typically the most cost economic way to freight Middle Eastern crude into Asia.
3⃣ If the VLCC cannot transit Bab el-Mandeb strait, then it has to go north up the Red Sea and go to Ain Sukhna port, discharge part of the 2 mb cargo into the Sumed pipeline and transit via the Suez Canal at a lighter draft, to then reload the balance cargo from Sidi Kerir. Then this VLCC goes a biggggggg round from the Mediterranean Sea, make a bigggggg detour round the Cape of Good Hope to go into Asia. This extra step takes about 30 days and a lot more handling cost. <Use Google Maps to visualize what I just said>
4⃣Another way is to load the crude at Yanbu with Suezmaxes which can take 1 mb of cargo only. Use this Suezmax to transit via the Suez Canal and do that whole rerouting using the Med Sea and Cape of Good Hope. Chartering Suezmax to load 2 mb of cargo generally economically unfavourable compared to the VLCC option, but the new VLCC option is really quite bad as well.
5⃣If your cargo HAS loaded already on a VLCC, you would need to use the Sumed pipeline way, or split the cargo into 2 Suezmax to utilize the Suez Canal way.
All the above is $$$$$ and extra time (not to mention vessel losses also).
#oott
R. Strand retweeted
🇸🇦Saudi Arabia's escape route from Hormuz is now being REROUTED again.
After shifting exports to Yanbu and Bab el Mandeb, Houthi attacks are forcing Asian cargoes north through Suez and then around Africa.
A Yanbu to Taiwan voyage jumps from
19 to 48 days.
Fuel costs rise from $1.26M to $2.87M, plus about $1M in Suez fees.
The oil still moves, but far slower and more expensively.
R. Strand retweeted
A global fight for LNG is brewing. And Europe is losing 🇪🇺 ⚠️
Europe’s strategy of delaying LNG purchases until Hormuz reopens is backfiring, threatening efforts for refill storage for winter
Asian rivals, meanwhile, are securing LNG as the Middle East conflict intensifies
R. Strand retweeted
One of the very few barrels you could actually load in the Middle East… +20% today, no paper market shenanigans this time.
R. Strand retweeted
Yemen's Houthis confirm they carried out an attack targeting a pair of Saudi oil tankers in the Red Sea.
Houthi forces carried out the attack using missiles and drones, reportedly hitting the tankers Encelia and Layla north of the Bab al-Mandab Strait.




























