Capesize (Atlantic and Pacific)
Finally a week has gone without significant movements, but substantially stable in all Capesize sub-sectors. The index closed on Friday at 3,526 i.e. a slight decline by 116 points. The 4T/C index closed at $35,252 ie. There is an increase of $1,458, which confirms the stability of this period. In Atlantic however activity has been quite limited, ore Tubarao/Rotterdam has remained stable at between $12.25/12.35, whilst the round moved from $35,000 to $36,250, ore
Brazil/
China relatively stable on $23.75 and the T/c in line. Also the
Far East, after a start to the week raising hopes for a strong activity, have then continued with declining activity and slightly weakening market. We thing that the week before Easter will have a quite limited activity, at least in western countries and already a slowdown is starting to appear.
Panamax (Atlantic and Pacific)
The Atlantic market remains mainly driven by the grain cargoes from EC
South America to the
Far East, which enable the market to remain stable even though the other commodities are rather poor. The hire levels agreed are in the region of $18-19,000 daily depending on the size/position of the vessels. The T/A round voyage rate remained at about $1,000 per day less than trips East with again a vast majority of the cargoes fixed emanating from
South America. The US Gulf is rather quiet and the only activity seen from this area has been for petcoke or fertilisers. A weakening market has seen this week in Pacific with rates reflecting such mood. Backhaul time charters dropped at around $16,000 per day for LME types delivery
Japan/
Korea and at $17,000 pd for delivery South East Asia via
Indonesia. There has been steady demand for grain from NoPac and
Australia into the mid-East. Here rates have held at around $17.5/18,000 daily levels. The short period declined from the $18.500 down to the $17.250/17.500 agreed for the large modern units.
Handy (Far East/Pacific)
Charterers interest for single employment fixtures remained a little quiet and some more tonnage was positioned in the area with
iron ore from
India. Rates so far kept holding to last done but interest is more for period chartering from short durations to over one year which are still concluded at realistic levels. This should mean that the general belief is that we shall not be facing any serious market fall.
Handy (North Europe/Mediterranean)
Continent has become a troublesome area for owners of prompt tonnage, the available business is scarce and several quoted requirements are not firm. The standard type tries to face as much as possible the lower market but same is not always enough to book an employment. Black Sea is a little more balanced with less tonnage available but the lack of demand has prevented so far the rates to recover.
Handy (US/N. Atlantic/Lakes/S. America)
A number of reported fixtures out of South American ports show how better this area keeps especially compared with the neighboring US Gulf. Here some chartering demand keeps on but rates tend to decrease further rather than improving with charts trying to delay their negotiations with owners.
Handy (Indian Ocean/South Africa)
A little more chartering activity for
iron ore from WC
India to
China showed agreed rates hanging between realistic to lowering levels. Korean charterers booked form the area a nice supramax for one year at a rate which is not showing any saving from what she would have been worth basis delivery
far east, but probably they have a first let to Atlantic, which is still calling for quite higher money than
Far East. South African market remained stable to last week levels.
Banchero Costa and Co Spa
Mail: research@bancosta.it
Web: www.bancosta.it