Week 37: Crude Tanker Industry’s Weekly Update
The BDTI (Baltic Dirty Tanker Index) should be assessed when analyzing the crude tanker industry. In week 37 (ending September 15, 2017), the BDTI rose from 707 to 744. In week 36, the index rose by 25 points. The index rose for the third consecutive week.
The index has fallen ~19% since the beginning of 2017. The BDTI gives us an idea about the direction that crude oil tanker rates are heading.
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Along with its weekly performance, it’s also important to look at the index’s yearly performance. The crude oil industry is characterized by seasonality. In the same period last year, the BDTI was ~547. In week 37, the index is 32.6% higher year-over-year.
In week 37, most of the crude tanker stocks traded in the green. Only Tsakos Energy Navigation and Euronav traded in the red. The following are crude tanker companies’ stock returns in week 37:
- Teekay Tankers (TNK) rose 12.9%.
- Nordic American Tankers (NAT) rose 3.1%.
- Tsakos Energy Navigation (TNP) fell 0.45%.
- Gener8 Maritime (GNRT) rose 2.4%.
- Frontline (FRO) rose 5.4%.
- Euronav (EURN) fell 0.62%.
- Navios Maritime Midstream Partners (NAP) rose 6.3%.
In the same week, the SPDR Dow Jones Industrial Average ETF (DIA) rose 1.9%.
Keep reading this series to learn how crude tanker rates—VLCC, Suezmax, and Aframax—performed in week 37. We’ll also discuss bunker fuel prices, analysts’ consensus ratings, and recent changes in target prices and recommendations for crude tanker companies.