Capesize (Atlantic and Pacific)
Another 509 points lost during the last week which represents almost the 8 % of the market in just one week. Capesize market was very weaken for all the week in all sectors and the average of the 4 T/c routes lost $7,118 reaching $67,110. Atlantic market was weak with the route Brazil/Rotterdam fixing below the $20/mt, the Brazil/China breaking the $ 35 now steaming towards the $ 34.75. The timecharter rates of turnaround is reaching the $70,000 mark with few activity. Also the Pacific suffered very few movements with the T/c round fixing from the excess of $70,000 down to about $ 63,000. The coal from Richards Bay to Continent also cooled and rate went from about $24.75 down to about $22.50. We think however that at the end of the week there were some positive signs of recovering and in fact the loss was decreasing.
Panamax (Atlantic and Pacific)
Week under pressure which probably will be same for near future with most sources inclined to think that the next week will be weak; although more concluded business was reported, there was still plenty of tonnage on hand for new business so rates showed no evidence of recovery. However short period business showed very good activity especially in Atlantic with strong with $37,000 daily paid for 2-3 months
trading while same period in the Pacific done at Usd 2,000 less.
Handy (Far East/Pacific)
The initial busy start of the week developed into a more quiet market, which lead to smaller spot chartering activity with timecharter fixtures concluded at daily rates decreased of about 4/500 Usd. Period interest is a little less strong but charterers keep paying very good rates.
Handy (North Europe/Mediterranean)
Scrap charterers keep leading the activity from the Continent with a Handymax fetching quite good money for a trip into the Eastern Med. There was larger demand for tonnage to perform trips across both from this area and the Mediterranean although agreed rates remains a little lousy. The activity trend out of he Black Sea is contradictory, an earlier low levelled fixture was followed by the report of a much better deal concluded at mid-week. The general volume of the demand still looks small and there is shared
opinion that market from this area is still not good at all, to the contrary owners of a fancy Supramax open there pretend to say that while they were asking Usd 29,000 for dely Canakkale and trip to Spore/Japan, they were already seen charterers showing 28,000 and a similar bought was rumored to have fixed Usd 30,500 daily for redely Muscat, but all this still needs to be proven.
Handy (USA/N.Atlantic/Lakes/S.America)
No concluded fixtures were reported out of Latin America but activity is said to silently proceed at rates, which should not have changed from the previous week.
Tonnage demand from the
Us Gulf is partially at a standstill. Paid rates sofar remain quite good for owners but larger units coming open in in the next weeks may need to discount their levels.
Handy (Indian Ocean/South Africa)
A wave of interest for covering India/China
iron ore stems lead to a number of concluded fixtures at firmer levels, although still allowed charterers book long period tonnage at lower rates compared to
Far East delivery. At the end of the week such wave looks to have passed thru too quickly and its swell is expected to push rates down again.
Banchero Costa and Co Spa
Mail: research@bancosta.it
Web: www.bancosta.it