One factor in the bull case for tankers appears to be picking up, even as rates have levelled off.

According to MSI Horizon’s monthly oil tanker report, more than 2m-dwt worth of tankers of 10,000 dwt or more were sent for scrap in October, compared to just over 1m dwt of deliveries.

Scrapping for aframaxes has seen a "resurgence" recently, with the asset class expected to see negative fleet growth for the first half of 2022, the report said, while the supply of suezmaxes is expected to at least stay flat in the fourth quarter.