CPP Atlantic MR market report: USGC market turns bearish

USGC MR: Sparta FSD now signals a bearish shift in TC14, projecting spot rates to ease toward 175 WS, reversing its bullish outlook from last Friday. October has been marked by notable volatility for USGC MR rates.

LATAM remains the primary demand driver for USGC barrels, with spot and November gasoline arbs into San Jose and Esmeraldas still open. Diesel into Santos is open for spot and November loadings, though margins have deteriorated, while diesel into Buenos Aires and gasoline into Rosarito are shut through December. Diesel arbs into Europe remain closed, and the EC Canada backhaul continues to fluctuate between open and shut in the prompt window.

MR availability has lengthened, with 22 open vessels (7-day ahead, 13-day avg) as of last night. Prompt and forward window counts are both increasing as recent strong freight rates have drawn more ballasters into the region.

Michael Ryan, our Freight Commodity Owner at Sparta, brings over a decade of experience with Trafigura in the energy sector managing risk across products and regions before becoming Head of Risk for subsidiary Puma Energy. Michael then joined the Trafigura commercial team trading freight while successfully growing the physical fleet through strategic dealmaking.

Sparta is a live, market intelligence and forecasting platform that enables oil traders, refiners, banks, hedge funds and wholesalers to have access to real-time and global actionable insights to capture market opportunities before others.

To find out how Sparta can allow you to make smarter trading decisions, faster, contact us for a demonstration at sales@spartacommodites.com