Capesize (Atlantic and Pacific)
A very firm week for the Capesizes: extraordinarily good in the Far East where the iron ore from the West Australia to China reached almost $ 13.25/13.50 i.e. a strong progress of almost 3 dollars per ton; it boosted consequentially also the t/c rates which reached levels of $ 45.000 to 46.000 on this run. On the other side the Atlantic market was not as brilliant as the Far East but showing some positive outlook at least. Certainly the firming market triggered the period activity where some modern capes was fixing close to $ 41,000 daily for 4/6 months time charter and a 180,000 dwt built 2010 was rumoured fixed for $ 37,750 for one year t/c.
Panamax (Atlantic and Pacific)
It was a strong week for the market in both basins; many prompt ships have been fixed, together with very firm paper market, creating a good sentiment also for later position. Owners remained cool expecting further gains in the following week. It was also noted that the stronger Capesize market was helping to lift rates. Pacific business was quieter than the Atlantic, but again here rates trended sideways with some upward movement for business which has emerged. Fresh inquiry helped to push rates up. Short period business of 4-6 months trading is likely to pay for an LME in the low- $30,000's daily range.
Handy (Far East/Pacific)
Charterers tried to keep activity on hold at the beginning of the week in an attempt to limit a further growth of the rates, which was proved to be in vain while the working days went on. Most of interest was for period, from short 3/5 months up to 2 years. Initially a few deals failed on subjects but shortly afterwards several others were finalized with large modern types being booked in mid/high 20,000's usd daily for shorter durations and up to 22.000 for 2 years. The volume of spot activity for similar sizes was much smaller but still showed owners getting over usd 30,000 daily for the Pacific/Australian round voyages. Reported activity for smaller Handies was very scarce, available rates were rumoured to be quite reasonable for owners.
Handy (North Europe/Mediterranean)
The chartering demand was quite sluggish out of the North European ports where the export volume of fertilizers and scrap was very small and grain requirements nearly did not exist. Luckily for owners the market out of the Atlantic Americas has firmed up further allowing them to look at business for loading across with attractive incomes. The trend out of the Black Sea showed to be unable to find its straight way ahead, with cargoes loading out of the still ice affected ports paying premiums but not finding tonnage while chartering interest was small in areas where the weather was milder.
Handy (USA/N.Atlantic/Lakes/S.America)
After a very quiet start, rates quickly showed to be easily staying at last done levels, and afterwards it started to grow up considerably. The initial mid 40,000's level for Supramaxes on the USG/East run became the rate for same sizes on trans-Atlantic business while at the end of the week the rate to the East for these sizes was described as well over the usd 50,000's mark. The firm South American market still allowed charterers to take tonnage delivering in the Far East and pay owners in the mid 20,000's daily. Handisizes were enjoying a similar atmosphere but limited to trans-Atlantic trade where low/mid 20,000's usd daily t/c required for a trip USG/Europe at the beginning of the week were growing up to a figure near to 30,000.
Handy (Indian Ocean/South Africa)
As a further confirmation of positional the India/China iron ore trade, rates agreed for larger units bounced up and down all the week ending up with Friday unconfirmed reports stating that a modern eco type may have been fixed at usd 42.500 daily. Another larger similar unit was reported booked for a 12 months commitment at a nice 23,000 usd daily rate.
Banchero Costa and Co Spa
Mail: research@bancosta.it
Web: http://www.bancosta.it/