Capesize (Atlantic and Pacific)
There were rumours that iron ore stockpiles in China were significantly reduced boosting optimism for bigger ships. There was a surge in Iron Ore trades from WC Australia to China and consequently rates rose: up 1,018 points on Baltic Capesize Index, up $12,591 daily on T/c routes. The Iron ore from West Australia to China jumped from $5.768 to $8.691 and it is expected to have further boost next week. The Atlantic Market was following the trend together with the Brazil/Japan that had a very good improvement.
Panamax (Atlantic and Pacific)
Period numbers increased significantly over the week with four to six months now done at $15,000 daily for a ship coming open in India. At the start of the week 74,000-tonners in the East were being done for the same duration at $8,500 daily. Spot rates in the East at $9,000 daily have been done for trips to India and the mid-high $8,000 daily for NoPac rounds. Ships coming open in India have been done at improved numbers with a 1990s built Panamax done from Haldia to China at $15,000 daily. Round voyage rates improved greatly with a 74,000-tonner agreeing at $13,000 daily. It is difficult to say whether this good feeling will remain also for the near future but rates and activity for 1 year period seem to bring market at good levels.
Handy (Far East/Pacific)
The week started without showing any benefit from the Chinese operators who came back to work after their long-lasting New Year holidays. The local trips showed to hardly manage, did as the last done levels and there was no backhaul activity at all. Owners of Supramax tonnages which were becoming available in the South East Asian region kept getting attracted from business loading ex India back to China. The chartering atmosphere was changing towards a better trend through the week, when a few larger Handies were reported fixed at better rates, mostly on Australian round trips; a similar trend followed shortly also for the smaller tonnages. Period interest was still alive for Supramax sizes up to 12 months employment, agreed rates were the same as the ones owners would achieve delivering in the much firmer Atlantic market, which added some optimism.
Handy (North Europe/Mediterranean)
A small amount of handy-sized scrap stems allowed a couple of owners to fix their tonnage from the Continent into the East Mediterranean, besides the reported one on time-charter basis rumor said that there was also another similar sized vessel fixed to the same direction on voyage basis at rate about $12 per ton. In either case rates were quite unattractive. Larger Handies were lacking in this area and a few stems from lower Baltic kept being pushed around without any response. German charterers involved with a Handymax size lifting from United Kingdom to China had to take a vessel delivering in the Eastern Med. Not so many fixtures were reported for loading in the Black Sea but rats showed a decent improvement both to the Middle and Far East.
Handy (USA/N.Atlantic/Lakes/S.America)
The slow start of the week was quickly contradicted by a much better market situation for owners. The sudden lack of available February tonnage both for US Gulf and South America has generated a nice day by day rate "crescendo" on Handymax and Supramax fixtures. The initial very low 10,000's daily rate aps South America for trip to the Far East, developed at the end of the week into a slightly larger Supramax fixing mid 12,000's dop W Africa for the same business. Similar if not larger improvements where a larger tonnage loading from U.S. Gulf with the initial $12,000 daily for a Transatlantic haul (already considered as good) ended up into Friday rumors about a similar sized vessel booking the same trip at a rate over $18,000 daily.
Handy (Indian Ocean/South Africa)
Activity was monopolized by the India/China iron ore, with a huge chartering demand reflected by a long list of fixed tonnage at progressively improved rates, including a huge $20,000 daily rate reported agreed for a large Supramax loading East Coast India, for which there must be also some positional justifications on top of the firming up market.
Banchero Costa and Co Spa
Mail: research@bancosta.it
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