Tanker Rates Hit Record Highs as Hormuz Crisis Drives 'Cascade' Effect
Crude tanker rates have surged to unprecedented levels, with suezmax and VLCC indices hitting all-time highs. This spike is driven by a 'cascade' effect where Middle East producers route more oil through the Strait of Hormuz under US protection, creating bottlenecks that force charterers to split cargoes and drive up rates across all tanker classes.