Weekly detailed analysis of world shipping freight markets for all major routes for November 20 – November 26, 2023
Capesize (Atlantic and Pacific)
Both Atlantic and Pacific markets saw increased activity, this has contributed to a significant rate recovery with rates reaching a record for the third week, mostly in view of sustainable positive sentiment from a fresh influx of cargoes and also constrained tonnage supply, resulting in significant stronger fixtures. The BCI 5TC route closed the week at a remarkable $28,000/d. On the Period front, K-line fixed the MV New Orleans (180,960 dwt | 2015 built) basis delivery China 7-19 December for about 20/22 months timecharter period at $20,000/d. In the Pacific, towards the end of the week there were stronger fixtures with Rio Tinto fixing two TBN vessels to load their cargoes of 170,000mt +/- 10% iron ore from Dampier to Qingdao. One shipment with laydays 10/12 December at $9.65/mt and another stem with laydays 11/13 December at $10.65/mt. FMG fixed a TBN vessel to load a cargo of 160,000mt +/- 10% iron ore from Port Hedland to Qingdao, laydays 8/9 December at $11.25/mt. BHP fixed a TBN vessel to load their cargo of 160,000mt +/- 10% iron ore from Port Hedland to Qingdao, laydays 10/12 December at $11.00/mt. Vale fixed a Cosco TBN to load their stem of 170,000mt +/- 10% iron ore from TRMT to Qingdao, laydays 1/3 December at $6.70/mt. Mercuria fixed The MV Cape Seagull (175,243 dwt | 2011 built) basis delivery retroactive to sailing CJK 9 November for one time charter trip via Brazil and West Africa to the Far East at a rate in the region of $16,000/d. In the Atlantic basin Vale fixed the MV Orion I (180,371 dwt | 2010 built) to load their stem of 170,000mt +/- 10% iron ore from Tubarão to Qingdao, laydays 9/14 December at $27.00/mt. Olam fixed the MV Pontotriton (177,947 dwt | 2007 built) to load a cargo of 170,000mt +/- 10% iron ore from Tubarão to Qingdao, laydays 8/17 December at $21.75/mt. Oldendorff fixed the MV ESL Whale (180,389 dwt |2011 built) to load a stem of 170,000mt +/- 10% iron ore from Tubarão to Qingdao, laydays 20/25 December at $24.50/mt. Swissmarine fixed the MV Transworld Navigator (177,897 dwt | 2010 built) to load a cargo of 185,000mt +/- 10% iron ore from Nouadhibou to Qingdao, laydays 1/12 December at $26.00/mt. Bunge fixed the MV Maran Venture (189,940 dwt | 2016 built) to load a cargo of 180,000mt +/- 10% from Kamsar to Qingdao, laydays 22/27 December at $22.00/mt, basis Winning terms. From South Africa. Assmang Ore & Metal fixed a TBN vessel to load a cargo of 170,000mt +/- 10% iron ore from Saldanha Bay to Qingdao, laydays 8-12 December at a freight rate of $16.04/mt. Anglo American fixed a Newcastlemax to lift a cargo of 190,000mt +/- 10% iron ore from Saldanha Bay to Qingdao, laydays 10-18 December at $16.50/mt.
Panamax (Atlantic and Pacific)
Rates in the Atlantic basin kept skyrocketing most of the week with TransAtlantic RVs supported by a strong mineral demand from both US EC and USG and some grains activity stemming mainly from NCSAm. P1A_82 gained another $3,000/d closing the week at $26,200/d. The highlight of the week was a 2020 Kamsarmax scrubber fitted fixing $31,000/d dop Flushing for a quick TA via US EC redely Continent, scrubber benefit for charterers account. US EC coal activity to India was pretty good with fixtures reported around $35/$36,000/d for nice Kamsarmax tonnage. From S America rates did not pick up the positive push with rates increasing more slowly compared to other routes due to lacking demand from ECSAm.
The Panamax market started the week on the back of firm fundamentals and firm sentiment. An 81,000 built 2015 open Yangjiang was placed on subjects for a trip via Port Lincoln and redely China at $15,000/d int. grains and a scrubber fitted 82,000 dwt built 2015 was reported for a trip via NoPac to Spore/Japan at $14,000/d. A 77,000 dwt built 2005 achieved $14,000/d basis dely Kunsan for a NoPac RV at a rate a shade below $14,000/d. An 82,000 dwt 2012 built open Xiamen was placed on subjects for a trip via Indonesia to India around $13,000/d. Towards the end of the week a 75,300 built 2006 open Dafeng was reported at $12,000/d for a NoPac RV. On period an 81,805 dwt built 2014 open CJK was reported basis 9/12 months at approximately $13,000/d and an 82,000 dwt built 2021 achieved $15,500/d basis dely Higashi-Harima for 5/7 months.
Handy (Far East/Pacific)
Steady market in the area with rates mostly unchanged. A 61,000 dwt with dely N China was fixed at $11,500/d for a trip via S Australia to China, a 52,000 dwt with dely Indonesia was reported at $16,000/d for a trip via Indonesia to China, a 57,000 dwt with dely Spore achieved $13,000/d for a trip via Indonesia to mid-China and a 63,000 dwt with dely N China was done at $13,500/d for a trip via Indonesia to Thailand. With West direction a 55,000 dwt with dely S China achieved $16,000/d for a trip via Vietnam to Bangladesh with clinker and a 57,000 dwt with dely N China took $9,500/d for a trip via Indonesia to ECI. On Handies, a 30,000 dwt with dely Spore was reported at $5,800/d for a trip via Australia to Spore/Jpn range.
Handy (North Europe/Black Sea/Mediterranean)
Rates increased thanks to increasing demand. The scrap trade to E Med was fixed several times at very low $20,000s/d on Supramax tonnage and a nice Ultramax achieved $23,000/d. Charterers were there to fix Ultramax tonnage at $23,000/d to S Africa, while the trip to F East for nonRussian cargoes was fixed around mid $20,000/d. From Russia an Ultramax was fixed at mid $40,000s/d basis dely Rotterdam for a trip to F East.
Definitely a positive week for owners, especially in W Med where there was a rather evident lack of tonnage. The routes that have benefitted the most from the strong market in Cont are certainly the TAs. For the month of December, operators were rather cautious in giving forward numbers because they probably expected increasing rates, while for January 2024 a decrease is expected. The CrossMed on Handies remained fairly stable at $12,500/d basis dely passing Canakkale, Supramaxes were still at $14/15,000/d. On TAs Handies increased to $13,500/14,000/d to USG and $11/11,500/d to ECSAm, Supramax were done around $15,500/16,000/d to USG. The Trips to F East was also increasing with fixtures around $21,500/22,000/d basis dely Canakkale on Supramax and Handies gatting fixed around $20,000/d.
Handy (USA/N.Atlantic/Lakes/S.America)
The market was softening a bit, but still kept the high levels of the previous week due to a short list of open vessels. Petcoke to India was paying around $45,000/d on Ultramax whilst grains to F East were around $35,000/d. Supramax were mostly fixed for TA trips with med around $32,000/d. A 37,000 dwt was fixed to E Med with coal at $20,000/d and CrossCaribbs was done at $28,000/d.
The market remained soft compared to other areas in Atlantic. A good spec 35,000 dwt was valued around $16,000/d basis dely aps for a trip to Cont/Med with grains. On fronthaul fixing levels were uncertain, but likely around $20,000/d aps for grains to Spore/Jpn range. A nice 55,000 dwt was fixed around $18,000/d aps for a TCT to Cont/Med with grains while fronthauls were done around $17,000/d + 700,000 gbb on Ultramax tonnage.
Handy (Indian Ocean/South Africa)
Rates in the Indian Ocean kept increasing during the week. Early in the week a Tess58 was fixed at $12,000/d basis dely MEG to India with limestone. A 63,000 dwt open WCI was reported around $12,500/d basis dely WCI for a trip via MEG to Bangladesh. Rates kept increasing also from ECI and early in the week a Supramax fixed at $8,000/d with iron ore to China, by the end of the week, the same trade was fixed at $11,000/d and a 63,000 dwt open Bangladesh was rumored around $15,000/d level for a similar trip. Rates kept going up from S Africa as well. A spot 58,000 dwt was fixed at $17,000/d + 170,000 gbb to F East and a Tess58 open WCI was rumored at $11,500/d dop on the same route. Towards the end of the week a 63,000 dwt open ECI was heard at $14,000/d dop via S Africa to F East.
Banchero Costa and Co Spa
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