The companies that Soros bought are some of the largest publicly traded dry bulk shipping companies in the world.
George Soros, like Warren Buffett, is one of the most admired investors in the world. Six of his recent additions are dry bulk shipping companies.
When countries position themselves to take advantage of their strength, they tend to improve upon what they do best.
Based on current statistics, U.S. product oil exports can increase by a further ~2.5 million barrels a day. This bodes unfavorably for refiners.
When inflation is on the rise, it’s often a signal that the economy is firming up, which is a positive for dry bulk shippers.
The key point here is that production output in the United States is rising so fast that not all of it can be delivered to refiners, which creates a bottleneck.
Iron ore inventory at Chinese ports can be an important factor that affects shipping rates.
Although the U.S. may be producing more oil, the increase may not necessarily benefit product tankers, which export refined oil out of the country.
Domestic suppliers’ share of the total could fall as cheaper producers like the big three iron ore suppliers ramp up production.
There are three main factors that have contributed to weak oil consumption: slow recovery, fuel economy, and cheaper substitute energies.
While the recent declines in steel prices might have contributed to weaker iron ore trade, investors may expect steel prices to rise.
A key trend has been developing in the United States and has been benefiting product tankers in the U.S. energy space.
October’s Real Estate Climate Index isn’t particularly strong—likely because China’s current economic growth isn’t as robust as the past.
There are many indicators investors can use to get a perspective of iron ore and coal shipments. One of them is crude steel production.
On November 8, the overall orderbook for product tankers stood at 12.43% of existing capacity measured in dwt (deadweight tonnage).
Two ongoing themes that are currently affecting product tanker demand include higher U.S. oil output and increased refining capacity.
China is a major destination for all dry bulks. China’s share of global dry bulk imports has increased at incredible rates over the last decade.
Despite a larger orderbook, TNK expects significant delays or possible cancelations because shipyards in China and Brazil are having problems.
According to management, Teekay Tankers’ better third quarter 2013 earnings were largely driven by stronger Aframax and Suezmax spot rates.
This third quarter’s results were a significant improvement from the third quarter of 2012 and from the second quarter of this year.