According to a research report published by Morgan Stanley, COSCO Haineng's management believes that the current sharp rise in freight rates for oversized tankers mainly reflects a drastic tightening of effective capacity, which contrasts with the increase in shipping demand. Recently, the three-year VLCC charter contract in the market had a daily rent of 100,000 US dollars. Management believes this provides a stronger mid-term pricing signal. Damo mentioned that thanks to the increase in freight rates and utilization rates, COSCO Marine's profit for the third quarter of this year is expected to improve on a quarterly basis. The company's management expects that most of the sharp rise in freight rates in September will be reflected in fourth-quarter results. In addition, the Strait of Hormuz will disrupt or last longer than expected, supporting the continued bullish market for tanker shipping. Damo reiterated COSCO Marine's “increased” rating, and the target price remained at HK$26.

According to a research report published by Morgan Stanley, COSCO Haineng's management believes that the current sharp rise in freight rates for oversized tankers mainly reflects a drastic tightening of effective capacity, which contrasts with the increase in shipping demand. Recently, the three-year VLCC charter contract in the market had a daily rent of 100,000 US dollars. Management believes this provides a stronger mid-term pricing signal. Damo mentioned that thanks to the increase in freight rates and utilization rates, COSCO Marine's profit for the third quarter of this year is expected to improve on a quarterly basis. The company's management expects that most of the sharp rise in freight rates in September will be reflected in fourth-quarter results. In addition, the Strait of Hormuz will disrupt or last longer than expected, supporting the continued bullish market for tanker shipping. Damo reiterated COSCO Marine's “increased” rating, and the target price remained at HK$26.