As expected, muted cargo enquiries have caused the LR2 rates to come off quicker than expected. Current benchmark is 75@W100. While Owners are trying to be resilient, it seems like there is little they can do about it. It is only a matter of time before the W100 mark gets broken at the rate enquiries are surfacing. Ship availability appears very much ample on the LR1s at the moment. Lower freight rates were being offered by Owners to get their ships moving instead of sitting. The outlook for the LR Market seems bleak moving forward.
MRs continue to stay soft due to sluggish demand, partially impacted by the weak LR market as well. Overall market sentiment seems soft and bearish.