Dry Bulk Market: Capesize a mixed bag this week
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Capesize Market has been mixed this week as roads fluctuated and ebbed, giving traders little direction. The market maintained the positive sentiment from the previous week, but was unable to sustain gains on 5TC midweek and rebounded at the close on Friday as 5TC came in at $ 32,393 , up $ 2,455 week after week. Weather concerns at the start of the week disrupted tonnage schedules from North Asia, putting pressure on roads in the region. The Pacific West Australia to China C5 closed the week at $ 12,164 while the Transpacific C10 came in at $ 31,598. The positive bump to close the week was led by the strengthening of the Brazilian market to Asia as the C3 rose $ 1.61 to settle at $ 27.785. The Brazil-China C14 time charter route is still lagging behind other regions as it closed the week at $ 27,027. Further north, the Atlantic Basin saw minimal changes at the end of the week, but was the most consistent region throughout. Still commanding a premium over other regions, the Transatlantic C8 came in at $ 37,950 thanks to minimal trade but a relatively tight supply of ships in the region.
The Panamax market had an impressive rebound this week, regaining losses suffered last week. The market ended the week on a more solid footing. In the Atlantic, as much of the original tonnage was dumped, this paved the way for levels to improve as a decent amount of new demand emerged, especially from the Americas. This in turn added pressure to some of the short trips. Almost $ 35,000 was raised for a trip via Port Kamsar to Germany was the highlight. Kamsarmax tonnage with an AG / WC delivery position in India was approximately $ 23,000 for travel via EC South America. Asia started the week on a slow burn with little noticeable action. However, by midweek improved support saw rates rise, especially from NoPac. A delivery of 87,000 dwt to Japan reaching $ 22,000 for travel via the Singapore-Japan NoPac re-delivery.
Ultramax / Supramax
Sentiment changed direction after last week’s drops, albeit slightly tempered, as brokers said better levels and levels of activity were seen in Asia. While demand returned from the Gulf of the United States to the Atlantic, other regions remained sluggish. Period activity was limited, but an open Persian Gulf of 56,000 dwt was set for five to seven months and was trading at $ 22,000. From the Atlantic, a 63,000 dwt was heard stationary from the Gulf of the United States for a transatlantic race in the $ 40,000 range. A 63,000 dwt has been set for a mainland to eastern Mediterranean scrap haul at around $ 41,000. There was better activity from Asia with more investigation from Indonesia. An ultramax open Philippines setting a trip via Indonesia redelivery to Bangladesh at $ 27,000. The nickel ore castings saw a fixture delivery of 57,000 dwt in southern China via redelivery from the Philippines to China for the very low sum of $ 20,000. From the Indian Ocean, a 63,000 dwt vessel was heard with fixed delivery to South Africa for a trip to Pakistan at $ 25,000 plus a ballast premium of $ 480,000.
The continued decline in BHSI ended this week with the resurgence of Asian markets turning the tide. Despite vacationing in Japan, we saw more activity with a rumored 38,000 dwt that was reportedly set for a trip from Japan to the mainland at $ 20,000. A 38,000 dwt opening in South Korea secured a trip to the US Gulf with a cargo of steels estimated at around $ 19,000. A 35,000 dwt open at Vanino has been set for a trip via Vancouver to China at $ 19,000. The east coast of South America remained positive with 34,000 dwt set from West Africa via the River Plate to Abidjan at $ 30,500. A 37,000 dwt secured from the Mississippi River in Morocco with an expected cargo of grain at $ 27,750. A 34,000 dwt open in Turkey has been set for a trip to the US Gulf at 28,000. A 36,000 dwt open Cristobal sets for three to five months with Atlantic Redelivery at $ 27,000.
Source: The Baltic Stock Exchange