Capesize (Atlantic and Pacific)
The week ended in a positive mood and consequently Baltic Index was up: plus 605 points, plus Usd 7,491 on the average of 4 T/c routes and despite the holidays in Asia which started October, 1. In Far East we noticed BHP Billiton very active for several cargoes from West Australia to China, the last one was fixed upto $ 9.25/mt. Atlantic was also active with the chronic absence of tonnage open in the area and went up considerably: SK Shipping had to fix one 172,000 dwt Baltic Type at Usd 40,000 daily for a Transatlantic round via P.Bolivar.
Panamax (Atlantic and Pacific)
As expected market slowed a bit by the end the week as Eastern holidays starting, however North Atlantic market still maintaining good levels while the South Atlantic cargoes remained scarce especially from South America: ballasters from East in fact are looking at other loading areas much further North. The Pacific rates firming up and it seems it could absorb the impact of holidays in China and other centres with modern LMEs earning around Usd 17,000 to near Usd 18,000 daily depending on delivery. A stronger paper market this week supporting the short/medium periods market with good rates.
Handy (Far East/Pacific)
No major changes in this market where some demand is available, but activity remains quite poor because of charterers awaiting trying to benefit from an expected softening in rates due to Chinese holidays. Along this weak atmosphere a few charterers running spot before the holidays were compelled to agree firmer rates to manage finalize their bookings. Better rates started to be seen also on smaller handies for local rounds.
Handy (North Europe/Mediterranean)
Rates agreed for business loading out of the Continent remained strong, both for East Mediterranean and Indian Ocean bound. Tonnage is still lacking in that area and charterers keep booking vessels with delivery in Mediterranean waters. Unconfirmed rumours of a vessel fixed at lower rates with Continent delivery for a transatlantic round may show that this area is slowly losing its original strength. The regular flow of new grain, fertilizer and steel business kept a firm stability in the Black Sea market from where fixtures concluded are said to be much more than the reported ones.
Handy (USA/N.Atlantic/Lakes/S.America)
The persisting inability to load from Jose port due to local troubles brought to the cancellation of a number of ballasters, obliged to look for alternative employment from the US Gulf and the USEC which may result into a rate decrease from such areas. So far the small number of reported fixtures still showed strong money agreed for supramax into the Far East and otherwise rates similar to last dones on transatlantic business, good money was also agreed on a large modern Supramax for short period. A further easing market in South America led a Supramax to agreed low money into the Middle East and Transatlantic rates generally going towards lower levels.
Handy (Indian Ocean/South Africa)
While the usual iron ore trade from India to China returned to show softer demand and easier rates, a sudden bunch of fresh requirements for coal out of South Africa popped into the market leading to a few Supramaxes reported fixed via this loading area at firmer numbers to India and Far East.
Banchero Costa and Co Spa
Mail: research@bancosta.it
Web: www.bancosta.it