Upon the discovery of the “Omicron” Variant equity markets have sold -off at the end of the month leaving most major indices in negative territory. The cyclical as well as small cap equity segments led the decline. Given investor concerns regarding renewed lock-down measures the price of Brent oil has fallen from $ 84.4 to $71.0 per barrel by month end. With a decline of more than 15% it was the sharpest oil price correction since March 2020. In this environment oil and gas stocks have fallen sharply. Within transportation the aviation segment as well as energy related shipping stocks have realised the largest declines. In the dry-bulk segment Capesize rates were range-bound at a level of $ 35k/day throughout the month. Following an unusal seasonal pattern VLCC-rates have fallen back from $ 8.6k /day to $ 3k/day whereas LNGC spot rates closed the month at ultra-high levels of $375/day. The overall fund performance was negative. Overall hedging positions have contributed positively.
For more information you can find our latest Fact Sheet – November 2021.
Seahawk Investments GmbH