Safe Bulkers: Best-In-Class Shipper Poised To Gain As TC Rates Rebound
- Decline in expected growth of fleet expansion over the next few years bodes well for shippers pricing power.
- Demand for higher quality coal in China to ease poor air quality is likely to drive cap rates.
- Decline in iron ore prices below $125 per metric ton favors imports over Chinese domestic production.
- Downside is protected from liquidation value of the fleet.