HK Stock Market Move | Partial container shipping stocks soar, container freight volume dramatically increases, fuel price hikes drive freight rates up.

Some shipping stocks rose, as of the time of drafting, OOIL (00316) rose 4.63% to HK$149.3; COSCO Shipping Holdings (01919) rose 3.97% to HK$15.96; LC LOGISTICS (02490) rose 1.04% to HK$5.84. On the news front, data from the supply chain visualization company project44 shows that since the escalation of hostilities between the United States, Israel, and Iran in late February, the actual closure of the strait has led to a surge of over 360% in diverted container freight. Industry insiders said that under the influence of the war, some of the cargo originally destined for Egypt via the Red Sea will be diverted to the Mediterranean route through Egypt. Last week, spot market rates for the Mediterranean route increased by about $300 per FEU to about $3300. Additionally, on March 13th, the SCFI European route index was $1618/TEU, an increase of 11.4% from the previous period. Shenwan Hongyuan Group released a research report stating that the escalation of tensions in the Persian Gulf has led to a sharp increase in global marine fuel oil prices, prompting some shipping companies to start imposing fuel surcharges. Currently, there is a tight supply of marine fuel oil globally, with potential difficulties and interruptions in refueling, which could lead to port congestion, schedule disruptions, and push up freight rates.