# Why crude-tanker collapse could be long and painful - FreightWaves

> Crude tanker rates remain very low as floating storage built up in April to June unwinds slowly and oil demand recovers only gradually. Kpler data shared with FreightWaves indicates the expected short hangover is not occurring.

- Date: 2020-10-21 · published 2020-10-21T12:00:00.000Z
- Category: logistics · region Global · magnitude low
- Page: https://feedsoft.ai/events/50806-why-crude-tanker-collapse-could-be-long-and-painful-freightwaves
- Commodities: [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md), [Crude Oil (Brent)](https://feedsoft.ai/c/BRENT.md)

## Why it matters

Weak tanker rates reflect soft crude demand and slow storage drawdown, signaling a prolonged period of low energy freight costs that may keep oil prices subdued.

## Read by commodity

- WTI: bearish ▼
- BRENT: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| WTI | 2020-04-21 | [Cushing storage hub constraints key to historic WTI crude oil price collapse](https://feedsoft.ai/events/53813-cushing-storage-hub-constraints-key-to-historic-wti-crude-oil-price-collapse.md) | -32.4% | +73.9% |
| WTI | 2017-12-01 | [Transportation constraints and export costs widen the Brent-WTI crude oil price spread](https://feedsoft.ai/events/68167-transportation-constraints-and-export-costs-widen-the-brent-wti-crude-oil-price.md) | -1.5% | +5.3% |
| WTI | 2019-05-29 | [Midwest flooding disrupts U.S. crude, fuel cash markets](https://feedsoft.ai/events/10414-midwest-flooding-disrupts-u-s-crude-fuel-cash-markets.md) | -9.3% | -2.2% |
| WTI | 2018-05-31 | [Explaining The Double Digit WTI Discount \| OilPrice.com](https://feedsoft.ai/events/65179-explaining-the-double-digit-wti-discount-oilprice-com.md) | -5.1% | +11.1% |
| WTI | 2017-08-31 | [US oil set for biggest monthly loss in over a year as floods hit demand](https://feedsoft.ai/events/69602-us-oil-set-for-biggest-monthly-loss-in-over-a-year-as-floods-hit-demand.md) | +6.8% | +12.3% |
| BRENT | 2023-03-20 | [European diesel tightens, crude weakens as French refinery outages linger](https://feedsoft.ai/events/37028-european-diesel-tightens-crude-weakens-as-french-refinery-outages-linger.md) | +3.2% | +18.3% |
| BRENT | 2020-05-22 | [Suez Canal suffers double blow from pandemic, collapse of oil prices \| Mohamed Hammad \| AW](https://feedsoft.ai/events/53022-suez-canal-suffers-double-blow-from-pandemic-collapse-of-oil-prices-mohamed.md) | -1.9% | +19.3% |
| BRENT | 2017-08-30 | [Oil prices continue downward trend triggered by Harvey - UPI.com](https://feedsoft.ai/events/69605-oil-prices-continue-downward-trend-triggered-by-harvey-upi-com.md) | +3.3% | +14.1% |

## Sources

- freightwaves.com: https://www.freightwaves.com/news/why-crude-tanker-collapse-could-be-long-and-painful

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.