Capesize (Atlantic and Pacific)
Baltic Capesize Index registered an increase of 687 points during last week. From Monday to Wednesday it registered +2022 points and then a sharp drop of 1335 points. The average T/C was at Usd 76,396 last Friday, having reached a record high this week at Usd 93,197. Most of the activity we have seen was, as usual, on the iron ore trade from West Australia to China with peaks up to around Usd 94,000 on the round and up to Usd 22.50 reported on voyage basis, but fronthaul business was quite active reaching about Usd 46.50 for Tubarao/Qingdao and in excess of Usd 115,000 on time charter. Atlantic trading was not that hot but still showed a good level of about Usd 105/107,000 for one transatlantic round. The reason of this brief boom in the market was mainly due to speculation of paper players and in fact just as Owners were starting to enjoy themselves, the market lost its impetus due to a backdrop of falling FFA market.
Panamax (Atlantic and Pacific)
The week started with very good levels: many Capesize split cargoes had a nice and healthy impact on rates improving in both the Atlantic and Pacific basins. But as the week went on activity became slower and very little concluded business has been noted. In the Pacific market a number of ships have been fixed and failed with rates falling. There was still quite good activity in medium/1 year periods.
Handy (Far East/Pacific)
A great interest for period was seen again for Supramaxes which were rumoured to keep getting around Usd 14,000 daily for 12 months employment. There was not too much activity showed in the spot enquiry with the major chartering interests still oriented toward trips bound to the Indian sub-Continent. Rates on this trade showed to progressively decrease through the week with Pacific rounds paying lower money as well and no other activity otherwise. Rates may decrease further.
Handy (North Europe/Mediterranean)
Market stayed firm enough around these areas. The on-going lack of available tonnage at Northern Europe implied that Olendorff fixed a 52,000 tonner with delivery Black Sea to load at Norway for a trip via Cape of Good Hope into the Far East at a daily rate in the low 20,000's. Tonnage of similar sizes still achieved over 35,000 daily for trips from the Black Sea into the Middle East. Trips from Northern Europe showed a more confused and positional trend leading the Handies to get period rates not so far below that of the Supramaxes in some circumstances.
Handy (USA/N.Atlantic/Lakes/S.America)
A good enough fresh volume of business from South America, mostly within the Atlantic, did not bring enough benefit to rates, in consideration of the larger amount of available tonnage within the West/South African range. Also the USG market, mostly concentrating on trans-Atlantic business, showed lower rates agreed by owners.
Handy (Indian Ocean/South Africa)
In a very quiet market area, the India to China iron ore trade still kept washing away available tonnage from the market in the area. The reported fixtures showed rates agreed were upon similar to or lower than last dones but rumours anticipated a new firming-up of the trade.
Banchero Costa and Co Spa
Mail: research@bancosta.it
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