TNK - Time to go long oil tankers Evercore says in raising Frontline DHT to Buy

Calling the bottom in the oil tanker market, Evercore ISI's Jonathan Chappell upgrades Frontline (FRO) and DHT Holdings (DHT) to Outperform from In-Line and Nordic American Tankers (NAT) to In-Line from Underperform.Alongside Frontline, Chappell cites Euronav (EURN) and Teekay Tankers (TNK) as his favorite ways to play a rising crude tanker market and Scorpio Tankers (STNG) "provides the most beta/torque" to a product tanker recovery.Chappell sees signs emerging that the worst of the tanker market has passed: The global economic recovery appears well underway; the IEA believes global inventories are only "a marginal 1.7M barrels" above the five-year average; an agreement to lift sanctions on Iran seems imminent; China imposed a surprise tax on imports of light cycle oil and mixed aromatics, which is expected to boost domestic production and associated crude imports to state-owned refineries; and tanker scrapping jumped in May."Risks still exist but are increasingly becoming overwhelmed by incremental

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Time to go long oil tankers, Evercore says in raising Frontline, DHT to Buy