Capesize (Atlantic and Pacific)
Another week, another new historical record high for Baltic Exchange Capesize index: 18,749 (+838 in 1 week) and new record high in the 4 t/c routes average $ 222,757 (+9.903). Transatlantic closed at $ 228,182, fronthaul $ 277,423, Pacific round $ 230,923 and backhaul $ 154,500. BHP Billiton and Rio Tinto fixed many vessels also this week for their iron ore cargoes from West Australia to China. Atlantic market is still very strong due to the shortage of available tonnage. Period market was very active with the 1 year period at the level of Usd 170,000 per day.
Panamax (Atlantic and Pacific)
Atlantic market was very nervous for all the week, but lack of fresh inquires and the uncertain situation for resumption of the farmers strike in Argentina justified such a situation. Charterers were pushed to switch cargoes from East Coast South America to US Gulf, but it appears limited to absorb prompt tonnage. In the Pacific, rates improved for both period and trip business, although demand for period was more active.
Handy (Far East/Pacific)
Strong rates agreed on period business that maintains the leadership of the activity; the interest for spot trading is quiet. A further decrease of the tonnage demand for single employments was seen at the end of the week which however left untouched the period trading where strong rates kept being agreed for short and longer durations.
Handy (North Europe/Mediterranean)
There is not much tonnage left available in the Med/Black Sea market. Owners of the few available vessels keep asking though rates for loading from Black Sea and East Med, to which charterers so far tried resist, leading into a scarce amount of business concluded. Even if reports of concluded business from the Continent were scarce as well, the scrap trading keeps dominating the area and probably the Atlantic market in general. The demand is stable enough not the receive any negative influence from the uncertain market in the U.S. Gulf and the decreasing one in South America.
Handy (USA/N.Atlantic/Lakes/S.America)
Rates from U.S. Gulf were a little less strong but still very far from becoming "low", an ignition to the market of fresh enquiry did not move the newly agreed fixtures from the previously done levels. In South America, the on-going hypothesis of a farmer strike reprise has limited the grain chartering interest only to the prompter stems. Consequently rates started to decrease and available tonnage builds up. Further strike talks in connection with a rate decline on the laker markets showed a further falling of rates as the week ended.
Handy (Indian Ocean/South Africa)
The slow down of the South American chartering activity has put charterers into a more relaxed trend, with no further rush in trying to attract tonnage available in this area. The volume of tonnage available has in the meantime shortened down so good rates were still agreed to fetch tonnage for loading iron ore from India to China. Charterers involved with stems from South Africa to Mid or Far East and not getting that much of interest back from the owners market.
Banchero Costa and Co Spa
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