A.P. Moller-Maersk A/S is in an unusual place this year, as it finds itself the target of an attack by hedge funds. Shares in Maersk declined by more than 3% on Monday due to negative speculation brought about by rising fuel costs and the impact of the US-China trade war, according to Bloomberg.
Maersk Line, the biggest shipping container line in the world, has seen its short positions increase to about 6%, the highest on record, compared with 0.8% in September, as hedge funds fear the effect tariffs from U.S and China will have on transpacific trade.
Maersk Line, which has seen its shares drop by 20% this year alone, is not the only container line facing financial problems.
Hapag-Lloyd, the fifth biggest container line in the world, announced in July that it was going to cut costs in response to underwhelming profit forecasts that saw it lose almost $1.4 billion.
Read more on Bloomberg.
