Capesize (Atlantic and Pacific)
Limited activity last week: Capesize Market Index lost 215 points and the average of the 4 T/c routes decreased of Usd 2,240 daily. There was basically no sensible movement in the market especially in the Pacific basin which was stil declining down to about/close Usd 9.00 per mt on the West Australia/China route. The rest of the market was almost absent except few fixture done in Atlantic at a little healthier level. The main reason is due to the Chinese New Year holiday which came the last Saturday with all Chinese Owners/Operators being on holiday mainly for all the week.
Panamax (Atlantic and Pacific)
Owners were reported to be more anxious to fix rather than wait because of the imminent start of China's New Year holidays that provided much of the impetus. In the Atlantic a more active Panamax market was registered by the end of week providing some resistance before moving towards East. Still quite good demand for short periods. Rates in the East varied widely, but in general rates dropped again.
Handy (Far East/Pacific)
Owners were struggling trying to avoid rates to slip down with a further decreased demand connected to the shortly approaching Chinese new year lunar holidays. Unfixed tonnage kept piled and supramax owner saw the north pacific round rate sliding down throughout the week from the initial high teens to a Usd 15,000 per day. A 40,000 dwt is rumoured to have been fixed this run at mid 10,000's. South East Asia rounds for prompt positions are paying similar levels with rumours that forward stems are worth better money. Owners buying the hope of a more profitable return leg are agreeing trips from South East Asia to India at 10/11,000 daily. A reduced period interest for the larger sizes still showed rates for short term to remain much better than the spot market while long term was fixed at unchanged levels. Activity for smaller sizes showed to be extremely limited with sole Australia round fixture reported at attractive levels.
Handy (North Europe/Mediterranean)
Activity from Northern Europe was almost limited to some scrap requirements to East Med where some charterers had to take tonnage with delivery Gibraltar due to lack of positions in the area at reasonable money while the sole fixture reported for a smaller vessel coming open in the area showed similar levels to last done. No fixtures were reported from Black Sea were the ongoing heavy winter conditions at several ports prevent charterers the choice of performing tonnage.
Handy (USA/N.Atlantic/Lakes/S.America)
The slow start of the week was due to owners resistance to keep rates similar to last done. The trend afterwars developed in a more positional market where some owners of tonnage coming open on the other side of the Atlantic Ocean managed to fetch better rates from South America to the Far East. It is rumoured that the number of tonnage gtting fixed from south africa was quite larger than what the reports show. Transatlantic buziness from th u.s. gulf showed to suffer a considerable downards corection at is week and the trade was still weak for the owners at the week ending.. activity for smaller handies was limitd to trips out fixed at unattractive levels.
Handy (Indian Ocean/South Africa)
The chartering interest for India to China iron ore cargoes faded away through the week as a result of approaching the end of the year holidays. The smaller volumes however still not generate a freight collapse. The very limited amount of reported fixtures decreased levels that howver remained much better than the Pacific Ocean rates and even attracted tonnage to fix with delivery Pacific for India round voyage.
Banchero Costa and Co Spa
Mail: research@bancosta.it
Web: http://www.bancosta.it/