Geopolitical events and conflicts, including Russia's invasion of Ukraine and the Israel-Hamas war, have significantly impacted global shipping markets. These events have led to rerouting of crude oil, refined products, LNG, coal, and grain trades, affecting various vessel types including container ships. Potential future conflicts, such as a regional escalation in the Middle East (possibly impacting the Strait of Hormuz), a Venezuela invasion of Guyana, or a China-Taiwan conflict, could have profound consequences for ocean trade. North Korea's alliance with Russia raises concerns, with the possibility of a material impact on shipping if tensions escalate, given the significant role of South Korea and Japan as major exporters and shipbuilding hubs. (See more at: FreightWaves, “Shipping and geopolitical risk: Don’t forget about Korean Peninsula” by Greg Miller, 1/22/2024)

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Atlas® Van Lines and The Suddath Companies jointly announced today that after over four decades, Suddath Moving & Storage LLC is re-joining the Atlas Agent family. Both Atlas Van Lines (largest subsidiary of Atlas® World Group) and Suddath Moving & Storage (headquartered in Jacksonville, FL) are very well respected names in the industry with shared expertise in the core household goods moving business. Mike Brannigan, President and CEO of The Suddath Companies stated that “Household goods continues to be a critical part of Suddath’s core business, and partnering with Atlas will help us accelerate our growth strategy, especially in the corporate, B2C, and military relocation segments.” (See Read More for Suddath's Press Release)

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The U.S. conducted a third air strike on a Houthi missile facility in Yemen today, destroying four anti-ship ballistic missiles deemed an imminent threat to merchant vessels and U.S. Navy ships (see abcNews, by Luis Martinez). Red Sea diversions increase the demand for more ships by container lines due to security concerns, raising spot container freight rates and the cost of renting ships. Liners may need to acquire additional vessels to maintain schedules amid longer voyages around the Cape of Good Hope (see: FreightWaves, by Greg Miller). Meanwhile, the drought at the Panama Canal has led to unprecedented low water levels, with ongoing ship transit restrictions, causing delays and increased shipping costs. The canal faces further tightening restrictions in the arriving dry season and canal revenue could drop by $200 million (See: FP Foreign Policy, by Mle Hoejrls Dahl).

Homebuyers, especially first-time buyers, had a challenging and discouraging task in 2023 with rates hitting a high of 7.79% late in 2023 and median home prices over $400,000. In recent weeks, as mortgage rates have been declining, the challenge is still expected to continue as pricing remains relatively high supported by lower inventory and high demand, with some softening in certain areas. Read more about trends and predictions at Forbes Advisor. (See “Housing Market Predictions for 2024 …” at Forbes Advisor, by Robin Rothstein and Caroline Basile, Staff, 1/4/2024)

Growing risks of Houthi rebel attacks in the Red Sea are prompting major shipping companies (i.e., Maersk, MSC, CGM, & others) to avoid the region, opting for longer routes around the Cape of Good Hope. This has led to increased shipping rates as voyage distances rise. The U.S.-led Operation Prosperity Guardian aims to protect shipping, but uncertainties persist. Container shipping is expected to see significant rate increases, while import markets, especially in Europe, face delays, impacting jet fuel and diesel supplies. Concerns are rising for potential higher shipping rates and stock values amid ongoing uncertainties. (More at FreightWaves, “Red Sea chaos should boost...shipping rates” by Greg Miller, 12/18/2023) or Detailed VIDEO

A recent study presents important safety information relative to the holiday season for truck drivers and others. As one may expect, key risk factors are speeding, harsh braking, and traffic volume/congestion. However, compelling data also found that the time of day and the weeks just prior and after the holidays show spikes for safety risk as well. The top ten states with the highest levels of speeding included mid to northern states on the east coast, VA to NH (also HI), while for harsh braking included a similar group but also CA, UT, KY and FL. Speeding was found to be more common from 9 to 11:00 a.m., while less at night from 10 p.m. to 1 a.m. (More at: FleetOwner, “How drivers can stay safe around holidays” Jenna Hume, 12/13/2023)