Red Sea Incident, Rising Freight Rates

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Red Sea Incident, Rising Freight Rates

Apart from Maersk, other major shipping companies such as Delta, ONE, MSC Shipping, and Herbert have chosen to avoid the Red Sea and switch to the Cape of Good Hope route. Industry insiders believe that cheap cabins will soon be fully booked, and higher subsequent freight rates may make it difficult for shipowners to book their cabins.

Container shipping giant Maersk announced on Friday that it will require all its vessels to divert from the Red Sea route to the Cape of Good Hope in Africa in the foreseeable future, and warned customers to be prepared for serious container shortages and rising freight rates

In the past week, tensions in the Red Sea have intensified, and OPEC and its production reduction allies have reiterated their commitment to unity

Fully consolidating the commitment to market stability, Libya's largest oil field has been closed due to protests, and crude oil futures in Europe and America have risen. The first month futures of light and low sulfur crude oil on the New York Mercantile Exchange rose a net increase of $2.16, or 3.01%; The average settlement price per barrel is 72.27 US dollars, which is 1.005 US dollars lower than the previous week. The highest settlement price is 73.81 US dollars per barrel, and the lowest is 70.38 US dollars per barrel; The trading range is $69.28-74.24 per barrel. The London Intercontinental Exchange Brent crude oil futures for the first month saw a net increase of $1.72, or 2.23%; The average settlement price per barrel is 77.62 US dollars, which is 1.41 US dollars lower than the previous week. The highest settlement price is 78.76 US dollars per barrel, and the lowest is 75.89 US dollars per barrel; The trading range is $74.79-79.41 per barrel. The finished product becomes complex with the rise and fall of raw materials.


Post time: Jan-15-2024