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Market Chatter: India-Bound Saudi Crude Cargo Transits Red Sea

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An India-bound Greek tanker loaded with Saudi Arabian crude crossed the Red Sea after turning off its transponder, while a Chinese vessel and Russian cargoes moved in the direction of the Bab el-Mandeb strait despite increasing security concerns, Bloomberg reported Friday, citing ship tracking data.

Western shippers intend to avoid the Bab el-Mandeb strait off Yemen after the Iran-based group declared a naval blockade of Saudi Arabia followed by strikes on Saudi vessels earlier this week. However, tankers from countries with strong trade ties to Iran, including China, have been making safe exits despite carrying Saudi Arabian cargo, while ships carrying Russian oil too have exited the strait regularly, the report said.

The Greek tanker was detected in the Arabian Sea late Thursday. Meanwhile, a Hong Kong-owned supertanker loaded with Saudi crude headed toward Bab el-Mandeb, following the exit route taken by two Chinese tankers earlier, the report said.

On Friday, brisk shipping traffic was observed through the Bab el-Mandeb, with several India-bound tankers loaded with Russian crude exiting the waterway, while others moved in the inward direction.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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