Capesize (Atlantic and Pacific)
This week we assisted to another significant rally in the market. As already during the previous week, activity has been strong on period and consequentially carried on also the spot market practically in all areas. On the transatlantic round we saw rates around $40,000, practically the same as the
Far East one, the fronthaul returned to around $50,000 with the backhaul at $25/26,000. Period remains active with numerous charterers, such as Cargill, TMT, Transafield, SK Shipping on the market for more tonnage. The BCI index jumped by 385 points, while the average of the 4 TC routes improved by a significant $5,071 a day.
Panamax (Atlantic and Pacific)
Atlantic: The market was rather calm for most of the week with very little new business emanating from
South America and still quite a number of ballasting vessels left over from last week. Once these vessels were fixed, available tonnage tightened up and owners were able to dig their heels in for better rates. The US Gulf has been busier of late with more grain and petcoke cargoes being quoted for Panamax size and this has alleviated some of the pressure.
Pacific: As expected the market tailed off this week primarily due to the lack of short period interest which has been seen to dominate in previous weeks. Most of the business quoted was for trips only and charterers seemed able to find suitable tonnage at softer numbers than previously seen, especially for the early positions. Only at the end on the week with an shortage of tonnage combined by the positive trend of the capesize market we saw a renews interest on short period at increased rates. Charterers are still showing an interest in longer period and it was reported that
BHP booked the 'Gerasimos' at $18,000 daily for 2 years with an option for a further year, a good number considering she is only 70,296 dwt, built 1996, and it is rumored that she may have already been relet for short period in the region of $23,000.
Handy (Far East/Pacific)
Plenty of fresh tonnage bookings were concluded during the week, keeping the whole area extremely lively, but some of the fixtures reported are showing slightly softer rates. A large handymax achieved smaller money for short period and even if owners are generally denying to consider business to the Indian Ocean, a couple of fancy vessels agreed lower money for this direction. Backhaul business levels remain unchanged and at the end of the week charterers put again their head out of the window for period tonnage up to 12 months duration to try take some advantage of the momentum but showing as well trust about a market which should not slow down seriously.
Handy (North Europe/Mediterranean)
Rates from Black Sea to Middle and
Far East keep improving bringing the feeling that this market should stabilize to firmer levels. The volume of business to be covered; however, is still not enough to allow the cross trade trades to grow proportionally, but owners don't complain as they will end up afterwards in the firm American market. The Continent appeared firmer as besides the good rates paid for Mediterranean and short period showed also quite firm fixtures to the Americas.
Handy (US/N. Atlantic/Lakes/S. America)
Handymax and Supramax rates from the US Gulf have become by all means as firm as the Pacific market ones, both for single trips and short period employment. Handysizes are proportionally being paid even higher money. The South American market showed smaller activity with charterers trying to under-evaluate tonnage, but same sofar remains just an attempt as owners opposing full resistance.
Handy (Indian Ocean/South Africa)
Handymax and Supramax tonnage open between the AG and WC
India is facing some troubles in finding employments fixable at decent enough money. A majority of quoted requirements are not firm and the charterers able to fix keep trying push down the rates.
Banchero Costa and Co Spa
Mail: research@bancosta.it
Web: www.bancosta.it