Fuel and Freight Daily Update - 10/31/25

11/04/2025

All prices reflect end-of-day settlements from October 30th, 2025

Colonial Pipeline Differentials (USGC):

• ULSD 62g (C62): -8.25

• Jet Fuel 54g (C63): -13.50

• Clean Tankers – The U.S. Gulf clean-product tanker sector remains under pressure. Prompt tonnage remains abundant and export flows to Latin America and the U.S. East Coast, while steady, are insufficient to absorb the surplus. Owners continue to discount aggressively, and sentiment remains weak heading into November.

• Crude Tankers – Long‑haul crude routes retain structural support. Many VLCCs continue to route via the Cape of Good Hope or avoid high‑risk zones, tying up capacity. Although fixture volumes are moderate and demand appears muted, rate floors have held up for now.

• LNG Shipping – The Atlantic Basin LNG freight market remains tight. Spot vessel availability is constrained and routing inefficiencies (due to seasonality and risk considerations) continue to stretch voyage durations. Charterers remain active and owners maintain pricing power.

• Overall Outlook – There continues to be a clear split in the freight market: the crude and LNG segments are structurally supported by longer voyages and constrained supply, while clean product tanker markets face headwinds from overcapacity and subdued demand. Without a meaningful uptick in export programmes or cargo flows, clean tanker rates may remain under pressure going into the early part of November.

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