High crude cargo inventory is a bad sign: Here is why – 7 May 2021

There is a high inventory of crude cargoes now lining up for delivery to India

Earlier it could have meant that larger volumes are getting absorbed but the inventory has swelled to around 7.4 MMT, indicating that offtake at Indian berths must be slower, resulting in a higher cargo inventory waiting to load

Ideally, a waiting list of 7.4 MMT is unusual

What is more, we can see some vessel cancellations taking place