Previously in this series, we discussed that crude (DBO) tanker stocks were mixed in the week ending January 5, 2018. VLCC (very large crude carrier), Suezmax, and Aframax rates fell. In this part of the series, we’ll see how crude oil and bunker fuel prices fared in the first week of 2018.
Crude oil prices rose to a three-year high on January 3, 2018. Anti-government protests in Iran and a blast of cold weather raised concerns about potential supply disruptions. Brent crude oil prices traded at $67.93 per barrel, while West Texas Intermediate crude oil rose to a high of $61.8 per barrel.
Bunker fuel prices
On January 4, 2018, the average bunker fuel price was $431 per ton—compared to $413 per ton on December 21, 2017. According to the Gibson report for week 1, bunker fuel prices at Rotterdam were $367 per ton on January 4, 2018—compared to $353 per ton the previous week. Bunker fuel prices at the Port of Fujairah rose to $388 per ton from $370 per ton two weeks ago, according to the same report.
Which companies were impacted?
Industries that transport commodities on ships incur bunker fuel costs. These industries are LNG (liquefied natural gas) carriers, product tankers, dry bulk carriers, and crude oil tankers. Bunker fuel prices are closely related to oil prices.
Some of the major crude oil tanker companies are Nordic American Tankers (NAT), Frontline (FRO), Gener8 Maritime Partners (GNRT), and Euronav (EURN). GasLog (GLOG) and Hoegh LNG Partners (HMLP) are LNG carrier companies. Navios Maritime Partners (NMM) is a major dry bulk shipper.
Fitbit generated returns of -22% in calendar 2017. GoPro generated returns of -13%.
Last week, Donald Trump blacklisted Chinese telecom giant Huawei Technologies amid rising US-China trade tensions.
This year has been a great one for Snapchat parent Snap (SNAP), and its stock has nearly doubled.
Coca-Cola (KO) will offer a limited edition of its of New Coke cans beginning May 23 as part of its partnership with Netflix’s (NFLX) show Stranger Things.
Clorox stock (CLX) is down about 8% since the company posted its third quarter of fiscal 2019 earnings on May 1.
JD.com (JD) recently invested ~$55 million in purchase a ~10% stake in Jiangsu Xinning Modern Logistics, a Chinese logistics company focusing on the consumer electronics supply chain.
Today, the US stock market was on a path of recovery after starting the week on a bearish note yesterday.