Until very recently, the narrative in the tanker market went like this: The coronavirus has destroyed oil demand, excess oil will be forced into storage on tankers, a huge portion of the fleet will be tied up for an extended period, far fewer ships will be left in the spot market, ergo rates will rise.
Sure, the lengthy and inevitable storage drawdown will be painful for rates, but that’s the future. The near term looks great and tanker stocks are trading at a discount, so buy the stocks.
The new...
https://s29755.pcdn.co/news/tanker-pitch-goes-back-to-basics-as-floating-storage-fades