What Moves a Shipping Stock and When?
Shipping stocks move with the direction of the physical chartering market. Typically, tanker shares go up if VLCC rates rise and dry bulk shares go up if dry cargo charter rates rise.
The physical chartering market has no reliable intraday indicator. Until recently, the financial community would rely on daily charter rate assessments and fixture reports to be able to follow the direction of the market. Freight futures have changed this.
Freight Futures Market at Imarex
Freight futures are standardized contracts linked to the underlying physical market, at Imarex they are traded by the largest players in the shipping and commodities industries.
Freight futures often move even before the physical chartering market and it is possible to link a particular futures contract to a specific shipping share. So, when the TD3 (freight future on the VLCC market between the Middle East and Japan) contract moves, it could affect the direction of tanker shares with VLCC exposure.
Accessing the Intraday Alerts
Our intraday alert service is available at a monthly fee of USA900, it includes a daily forward curve showing the expected long term development of each contract. This gives you a head start on shipping, buy before it goes up and sell before it goes down! To susbscribe just fill in our enquiry form.
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