Capesize (Atlantic and Pacific)
Very volatile market notwithstanding the summer holidays period, the week started negatively but ended positively, BCI on August 7 was 4,444 and reached 4,708 on August 14 (+5.95%) and average of 4 time-charter routes at $47,919 (+2.391). West Australia/China rate from around $12 on Monday now is back to $13.50 with time-charter trip fixed at $ 47,500. Atlantic market saw numbers starting from $30 up to 34.50 for Brazil to China depending on loading ports, the Brazilian giant Vale is still not very active in fixing vessels, small activity for trans-Atlantic voyages.
Panamax (Atlantic and Pacific)
The pressure appeared to have eased for August but charterers with forward business were keeping a close eye with the market still potentially balanced. East Coast America has been very slow most of the week with committed tonnage, or those ships still in ballast, paying the price. In the Far East, the volume of fixing increased over the week with rates almost stable, the focus has been largely on short Indonesian rounds with tonnage coming open North Asia still seeing limited business for the longer NoPac rounds. The slow-down in South America has kept tonnage from ballasting but even so rates reached the upper teens for longer rounds in the East. Period trading was concentrated on 3/5 4/6 months range just around $19,000/$20,000 daily.
Handy (Far East/Pacific)
Activity started very slowly due to the on-going over-availability of tonnage and a persisting weak demand for chartering of handymax and supramax sized tonnage. Owners of smaller handies went through a more optimistic trend, with better rates available for local business which further improved through the week, reaching levels close to the handymaxes on some trades. The end of the week showed some positive reflection to the larger size tonnage with a general stability on rates and rumors about a vessel fetching over $15,000 for an Australian round.
Handy (North Europe/Mediterranean)
A fresh flow of business loading out of the Black Sea revived this market area again and resulted into a number of vessels fixing to load steels or grains, mostly for East-bound discharge, at firmer levels. Larger handies were seen fixing trips into West Africa at decent rates, especially taking into consideration the good positioning for loading South America afterwards. Even if there was not so much enquiry from Northern Europe, the persisting lack of available tonnage in the area kept rates quite firm and still obliged charterers to secure tonnage becoming available in the Mediterranean waters.
Handy (USA/N.Atlantic/Lakes/S.America)
Activity in these areas started very slowly, with the on-going reflection of the loading troubles aroused in North Coast South America for the coal/petcoke stems, which kept pushing downwards the USG rates. Owners had to swim in this negative atmosphere until second part/end of the week when a fresh flow of enquiry from South America brought more optimistic feelings. The larger activity seen at the end of weak didn't bring large enough benefit to rates so far, in connection with a larger charter interest for September dates, it is expected to show charter rates recovering in a few days.
Handy (Indian Ocean/South Africa)
Small activity from South Africa led to a considerable reduction of rates for the supramax size coal trade into India, which previously was fixed at very similar levels to trips from India to China. A modest amount of iron ore kept getting fixed from China to India, with agreed rates showing to more or less keep close to last dones and better money as usual being agreed for tonnage loading EC India.
Banchero Costa and Co Spa
Mail: research@bancosta.it
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