Capesize (Atlantic and Pacific)
Last week rates were improving in the Pacific basin due to the consequences of a typhoon in the area. On the other hand Atlantic market remained quite depressed and the oversupply was evident. Fronthaul from Brazil was fixed in the mid/high $17 while a Bolivar/Rotterdam cargo was covered in the mid $8. Period market was quiet last week with some owners offering their tonnage at last done levels.
Panamax (Atlantic and Pacific)
The market was still struggling during last week both in Atlantic and in Pacific. In the Atlantic, there were some new transatlantic rounds, but many vessels were there available chasing such business. This made rates for Atlantic trip hovering at $6,000 daily level. Fronthaul business from USG to Fareast was also suffering low rates around $14,500 + $450,000 bb level; rates for ECSA rounds were even lower. In the Pacific, owners were desperate to find any support: there was activity on the Indonesia round, but it was soon covered at low rates in the $6,000 daily + 100,000bb level. For candidates in North China was very hard to find proper employments since charterers were willing to do aps delivery only for NoPac round at $7,000 daily plus 300,000 bb level. Period rates headed further South together with the spot market. By the end of the week, a good LME Panamax was done at high $7,000 daily for 4/7 months and another one at $9,500 daily for 2 years.
Handy (Far East/Pacific)
A large amount of Supramax tonnage was reported fixed at improved rates for coal trips via South East Asia to India at the beginning of the week. Afterwards, the large amount of tonnage still available prevented rates to improve further until it was difficult to fix at least dones and some units were fixed again at lower money. A 53,000 tonner was reported fixed at $8,500 delivery North China for a NoPac round voyage, but with a large redelivery range up to East Coast India. Short period was still active, but in the end only a 2/3 laden legs deal was reported at a low $8,000/d with redely India/Japan range. Slow activity for smaller Handies showed only a modern 27,000 tonner agreed at $5,500/d from Spore via Australia to SE Asia, while a very similar boat was rumored at mid $6,000's daily with same delivery, but less attractive redelivery at East Coast India.
Handy (North Europe/Mediterranean)
Previous week's rumoured Supramax fixture at $6,500 from Cont to USG turned out to be actually a 33,000 tonner, making the deal more attractive. Some scrap cargoes kept getting fixed to East Med at rates that were not so attractive, but better than what coal out of North Coast South America would pay for the same destination. A 32,000 tonner got $13,400 from North Europe to Fareast, not bad at all considering the route agreed outside piracy area and the longer duration.
Handy (USA/N.Atlantic/Lakes/S.America)
Improved activity kept Supramax rates from USG in line with previous week's levels, both on Transatlantic and East bound trips. Actually a few more vessels were fixed for Far Eastern destinations. Similar sizes from S. America were fixed for Transatlantic trips at levels similar to USG rates, whilst from this area activity to East was smaller and rates lower. A reduced demand for smaller Handies so far didn't affect that much prevailing transatlantic rates, as it was confirmed by the sole fixture reported for a fancy 28,000 tonner booked for NCSA/West Coast Italy at $7,750 daily rate.
Handy (Indian Ocean/South Africa)
Very little activity from this basin had as a resulted in no fixtures reported concluded and a pretty unclear trend. Handysize rice business is still active out of East Coast India: Kakinada, nowadays major place for rice export, is quite congested making loading time even longer than usual. If chartering interest from there will go on, rates will have to increase in order to induce owners to consider the longer business duration.
Banchero Costa and Co Spa
E-Posta: research@bancosta.it
Internet: www.bancosta.it