M. Holland’s latest logistics outlook examines current challenges and industry trends that are impacting shipping, trucking and rail. Although the plastics industry is faring a little better than earlier this year, M. Holland’s experts predict disruption to continue well into 2023. Click here to read the full outlook for the remainder of 2022.
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Oil prices rose Wednesday on news that the U.S. may make it more difficult for Iran to return its crude to the global market.
Oil futures were mostly flat in mid-morning trading today after BP reported shutting some units at an Indiana refinery, a key source of supply to Chicago, that was damaged by fire on Wednesday. WTI was down 0.2% at $94.68/bbl and Brent was up 0.1% at $101.30/bbl. U.S. natural gas futures were up 0.6% to $9.38/MMBtu.
U.S. crude stocks fell by a larger-than-expected 3.3 million barrels last week, according to the EIA. Crude production was down by 100,000 bpd.
Russia is offering crude discounts of up to 30% to entice some buyers in Asia into long-term supply contracts, according to reports.
British gas production rose 26% in the first half of 2022 as domestic producers scrambled to replace Russian supplies. For the first time ever, the nation recorded zero fuel imports from Russia in June.
Norway has overtaken Russia as Europe’s biggest supplier of natural gas, with its output on track to rise 8% to a record-high this year.
The average rate for dry-bulk shipping’s largest vessels plummeted 42.5% last week as demand and port congestion eased. The Baltic Exchange’s price index dropped to $7,188/day, down from $24,000/day in mid-July.
Operating profit in FedEx’s ground unit declined 17% last fiscal year as tensions grew between the shipper and its independent contractors.
German exporters incurred $69 billion in extra costs this year due to soaring producer and import prices, an industry group said.
A strike over pay at Britain’s largest container port of Felixstowe threatens to spark fresh delays and trade losses of up to $1.2 billion, analysts say.
First-half revenue at Orient Overseas Container Line doubled to $5.66 billion and revenue jumped 58% despite declining container volumes.
Maersk’s port unit APM Terminals won a contract to build and operate a container terminal in Brazil’s Port of Suape at an estimated cost of $500 million.
Visa has issued over 4 billion global network tokens — digital cards used for online purchases — outpacing the total number of its physical cards in circulation for the first time. The firm says e-commerce volume grew by more than 50% during the pandemic.
New orders for U.S.-manufactured capital goods rose in July, a positive signal of business spending. New orders for durable goods, meanwhile, were unchanged at $273.5 billion.
U.S. home prices fell 0.77% from June to July, the first monthly decline in nearly three years, according to mortgage software firm Black Knight.
Pending U.S. home sales dropped a better-than-feared 1% in July but remained at the lowest level since the start of the pandemic. Contracts have declined in eight of the last nine months, according to the National Association of Realtors.
The median U.S. rental price surged to an all-time high of $1,879 per month in July, according to Realtor.com.
Suburban rental rates have soared relative to historically higher urban rental rates, with the price gap shrinking 53% over the last three years due to a surge in remote-work opportunities, among other factors.
Private real-estate funds hold about 23% of their investments in offices, down from 34% three years ago, as remote work upends the traditional office market.
Amazon plans to shut down its virtual healthcare service by the end of this year as the firm’s $3.9 billion deal to acquire primary care provider One Medical awaits approval from regulators. The e-commerce giant is also among bidders for Signify Health in an auction that could value the home-health-services provider at more than $8 billion.
Beleaguered malls are adding grocery stores to anchor their revival, as U.S. grocery store openings have outpaced those of home improvement, electronics and superstores over the last few years, with only dollar stores expanding faster.
New COVID-19 infections globally fell 9% last week from the prior week, with cases falling in all regions except the Western Pacific.
COVID-19 deaths in Great Britain this summer doubled compared with the summer of 2021, new data shows. In a shift to “live with the virus,” the nation is scrapping some testing requirements, including for healthcare workers who present no symptoms.