LONDON: North Sea Forties and Ekofisk cargoes were offered lower on Tuesday as sellers struggled to offload barrels and traders said prices would probably fall further given the lack of buying interest and ample supplies of competing crudes.
"Nothing seems to be changing the weak sentiment in the market at the moment," one trader said.
"People are calling the bottom but it could be the buying to store that is causing this bottom. If the storage runs out or the storage economics run out then I think we will go lower."
The VLCC Alsace is currently heading towards Hound Point, and is expected to load with Forties for South Korea as Trafigura continues its storage plays.
The VLCC Caesar and VLCC DHT Eagle are continuing to Yeosu as planned. The Caesar created some confusion in the market on Monday when it appeared to be heading to an anchorage off Southwold.
The Exchange for Physical (EFP) for March dipped to minus 60 cents on Monday, a low not seen since May 2008.
Comments
Comments are closed for this article.