The LR2 market firmed overnight as a tighter position list caused rates to inch up slightly, leaving Charterers scrambling to cover their cargoes. Apparently there are a couple of 2nd Decade cargoes still outstanding while most 3rd Decade cargoes are emerging and being put on subs. The LR1s will likely follow the current uptick in the indices. With continued brisk activity seen in the LR market, we definitely expect a lot more resistance from Owners on the Rates.
On the MRs, the North Asia market is currently driven by a slight surge in 2nd decade cargoes causing rates to hold stable for now. However, how long this will last remains to be tested. The South East Asia market continues to remain muted as fewer cargo enquiries surfaced. Sentiment wise, Soft for sure.