Hong Kong Stock Movement | COSCO Shipping Energy (01138) Rises Over 6% Again, VLCC Freight Rates Remain at Extremely High Levels, Institutions Point to Monitoring Strait Passage Situation

CITIC Securities APP learns that COSCO SHIPPING Energy Transportation (01138) rose more than 6% again. As of press time, it increased by 6.22%, trading at HKD 19.31, with a turnover of HKD 415 million.

In terms of news, Clarksons’ latest weekly report states that after entering the second week of the Middle East conflict, the oil tanker and energy markets are still under significant impact. The passage of ships through the Strait of Hormuz remains about 95% lower than normal levels, and attacks on ships, ports, and refineries continue. The report also notes that although the oil tanker market has generally softened compared to the previous week, the average spot earnings for VLCCs remain around USD 180,000 per day, still at a very high level overall.

CICC Research reports that the US-Iran conflict is becoming more prolonged, causing a de facto disruption of shipping routes. The reduction in Middle Eastern route cargo volume will also affect freight rates. Alternative routes such as West Africa and the US Gulf are relatively flexible in capacity, leading to a slight decline in high freight rates. Future observations will focus on the Strait’s passage situation; if limited passage is possible, oil tankers will present an optimal scenario of “volume and price.”