[Edaily Reporter Shin Ha-yeon ] Shipping stocks are rallying in unison as tensions surrounding the Strait of Hormuz escalate once again following a stalemate in negotiations between the U.S. and Iran. This is interpreted as reflecting expectations that prolonged disruptions to shipping through the strait could lead to higher freight rates.
According to MP Doctor on the 18th, as of 1:59 p.m. that day, STX Green Logis(465770)was trading at 3,670 won—up 29.91% from the previous trading day—and had hit its daily price limit. [This image was created using AI technology.] At the same time, HeungaShipping(003280)is trading at 1,946 won, up 13.60%, and HMM(011200)is trading at 22,800 won, up 7.29%. PanOcean(028670)and KoreaLine(005880)are also up 5.18% and 3.44%, respectively.
This is believed to be due to renewed concerns over disruptions to maritime shipping in the Strait of Hormuz, as the deadline for negotiations between the U.S. and Iran passed on the 17th (local time) without the two sides reaching an agreement. The market is focusing on the possibility that shipping rates could rise due to vessel detours and supply chain disruptions if restrictions on passage through the Strait of Hormuz persist for an extended period.
In fact, the number of ships passing through the Strait of Hormuz has dropped significantly from normal levels. On the 17th (local time), Reuters reported, citing data from the ship-tracking firm Kpler, that five bulk carriers passed through the strait on the 15th, while not a single one passed through on the 16th. This represents a sharp decline compared to the 31 ships that passed through the previous weekend.
International oil prices also rose as concerns over the deadlock in negotiations and disruptions to maritime shipping converged. On the 17th (local time), Brent crude closed at $90.87 per barrel, while West Texas Intermediate (WTI) closed at $84.50.
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