Shares of COSCO SHIP ENGY (01138) have rebounded strongly, gaining over 6%. At the time of writing, the stock is up 5.82% to HK$12.54, with a trading volume of HK$226 million.

Supporting factors include a report from the IEA indicating that government inventories in OECD member countries have fallen to their lowest level since December 1990.

In a research note, Guohai Securities highlighted that governments worldwide plan to purchase substantial volumes of crude oil by 2028 to replenish strategic petroleum reserves, which were previously drawn down to offset supply disruptions caused by US-Iran tensions. The firm believes net growth in tanker fleet capacity will be limited and is optimistic about the potential for freight rate increases.

Hualian Futures pointed out that China's crude oil imports saw a significant decline in the second quarter, with refinery utilization rates dropping sharply, particularly among independent refineries where operating rates hit a new low since 2020. It is anticipated that independent refineries will increase purchases of Middle Eastern crude in the later period, with operating rates expected to gradually recover.

Preliminary data from Orient Futures shows China's July imports were approximately 7.71 million barrels per day, an increase from the 6.04 million barrels per day recorded in June.