Capesize (Atlantic and Pacific)
Last week the Capesize market was dull and the possibility of a further slide was there. This was due mainly to 2 factors: the lack of fronthaul cargoes from Brazil to N Atlantic and bunker prices falling further. Only approaching the end of the week some positive signs were seen thanks to a tighter availability of tonnage on prompt dates. W Australia/China was fixed in the low $4/mt at the end of the week. Out of Saldanha Bay to Qingdao rates were in the low $7/mt; TC returns for the owners for a Pacific Round was around $3,000/d. The Atlantic side looked a bit better for prompt dates with ships fixing around $6,000/d for TransAtlantic RV. Towards the end of the week a S Korean charterer took a unit for a 85/90 days fronthaul at $15,000/d.
Panamax (Atlantic and Pacific)
After the holidays the Atlantic market appeared quite active, however rates kept dropping because of the amount of spot units and a lack of TransAtlantic cargoes. USG to F East was fixed around $12,500/d + $250,000 bb ( equivalent to $33/$33.50 on voy bss with grains) while fronthaul via ECSAm around $11,750/d + $175,000/d. TransAtlantic trades were limited and Panamax suffered the competition from PostPanamax that mainly traded on aps basis. USG and ECSAm to Cont/Med rates were lower than $10,000/d + $100.000 bb. BSea market was still slack and also in Cont/Baltic demand was reduced with very few fixture reported for quick RV and some for F East at around $13,500/d. Far Eastern market was sleepy during last week with owners struggling against the small demand. Some owners are considering to drop the anchors waiting for better rates. Some more interests were seen around the NoPacwith nice Kamsarmax fixed RV around $7,000/d for good deliveries. Rates for short rounds were even below the $5,000/d basis dop and charterers pushing to work on aps. Australian trading was slow around $5/5,500/d on lme type. Period was still negligible especially for shorter duration around the mid/high $7,000/d.
Handy (Far East/Pacific)
Demand was scarce and limited to spot business loading from SE Asia where a 57,000 tonner got only $7,750/d for a trip Indonesia/China and a smaller 50,000 fixed at $6,000/d to load coal from Philippines to China. An unfancy 56,800 dwt was agreed for short period at an higher $10,150/d, but bunker prices are still falling. Towards the end of the week demand for spot requirements improved and a 48,000 dwt was reported at $11,150/d from CIS Pacific to Chittagong. More interests for smaller Handysize employed on local trades, including Australian rounds, and short periods resulted in rates trading sideways.
Handy (North Europe/Mediterranean)
No fixtures were reported from this area. Very little fresh enquiries were seen for cargoes loading out of N Europe, almost nothing from W Med. Spot business out of BSea was slightly more active: small demand and cheap bunker prices allowed some grain charterers to fix at very low money Handysize grain stems to Med and booked a couple of Supramaxes to E Africa at unattractive freights. On the timecharter side, a fancy Supramax was rumored at an awful $3,500/d basis delivery Cannakale for trip via BSea to the Egyptian Med. Some Norwegian operators were said to have taken at the same money a similar sized unit from BSea to USG.
Handy (USA/N.Atlantic/Lakes/S.America)
The drop of Supramax rates was evident. From Brazil $12,500/d was agreed on a trip to Med and $11,500/d basis redely N Europe. From the same area the first reported deal to Far East showed an agreed aps delivery rate of $11,100/d + $125,000 bb. This was followed by a weaker $11,000/d + 100,000 bb. A fancy 57,500 dwt was agreed at just $ 14,799/d for a trip to Chile. Demand from USG was stable. A 56,000 dwt agreed $13,300/d for a trip Continent and a 56,000 dwt got $15,500/d to BSea. A 56,600 dwt was fixed at the beginning of the week at $14,759 for a trip East and approaching the weekend there were rumors of charterers evaluating tonnage at $12,500/12,750/d for the same trade.
Handy (Indian Ocean/South Africa)
Demand remained extremely slow in this area and rates softened. A 57,000 dwt was booked at $8,250/d + $165,000 bb basis delivery S Africa for a trip to Far East An Handymax grain stem from WC India to E Africa was marketed at the end of the week with owners of fancy tonnage strongly competing each other and willing to fix at low voyage freight levels.
Banchero Costa and Co Spa
Email: research@bancosta.it
Internet: www.bancosta.it