Capesize (Atlantic and Pacific)
Another week undertone: minus 1,302 points on Baltic Capesize Index and minus $ 17,551 on the 4 average routes. The drop came down quite substantially and lost even 572 points in one day only, followed by papers value. However it must be remembered that the record set of this week represented an overall 4% value of the index when the previous record (was in February 2006) was minus 8%. The sentiment towards the end of the week however was more positive and certainly owners with tonnage in Atlantic are taking a relative relaxed attitude as they are starting to see more business quoted for the mid-end November position.
Panamax (Atlantic and Pacific)
Decline in paper trades, holidays in a number of countries and the Eisbein in Hamburg have influenced this week. For all of these reasons many negotiations have stopped. However rates remained at good levels despite charterers were pushing hard for lower rates. In the Pacific basin rates were a bit under latest done, excepting period business, to the contrary in the Atlantic one rates were weaker with some ballasters and no fresh enquires.
Handy (Far East/Pacific)
The spot market showed to be paddling a bit due to a shortage of fresh enquiries. In spite of this, rates so far kept quite firm levels and some shock was brought around by one large Supramax fixed by Norwegian operators at Usd 85,000 daily for a trip from China into the Bsea. Period interest remained the leading activity with Supramaxes achieving rates in the mid 70,000s daily for short term, just above 70,000s for one year and low 60,000's for 24 mos. Backhaul trips showed a Supramax booked at Usd 74,000 daily for redely West Africa and about Usd 60,000 paid for a Handymax into the Us Gulf, which remains quite a healthy rate for owners even though the redely area is not as firm as it was before. The end of the week combining All Saints holiday in the Catholic countries and shipping people moving to Germany for the Eisbein, showed a consistant slow down which is said to recover with the coming week. Handisize tonnage was starting to pile up in South East Asia; will this benefit rice operators, almost lead to desperation by the previos market?
Handy (North Europe/Mediterranean)
Besides the very small amount of fixtures reported a good volume of activity was seen out of Mediterranean and Bsea waters, the latter area kept firming up throughout the week, a 48,000 tonner was rumoured fixed at Usd 65,000 for a trip via the Persian Gulf with redelivery passing Muscat. The Continent was quite lousy; besides some small demand for loading scraps to East Med. Tonnage open was mostly busy in getting fixed for trips via Americas.
Handy (USA/N.Atlantic/Lakes/S.America)
A slow start of the week didn't end up into any major activity due to a further slow down for All Saint holiday and Eisbein shipping community gathering. With Capes and Panamaxes showing some downward trend, charterers involved with Handymax and Handysize shipments have been trying to make lots of resistance on rates, which not always managed to come through. Surely owners with South American positions have shown a better willingness to fix and some congestion in the area didn't further assist business to go through. But the major reason was Baltic indexes starting to decrease, shipowners have lost the habit of it, and panic now runs much faster.
Handy (Indian Ocean/South Africa)
Even without making any big noise, this side of the market keeps climbing up, besides the over 80,000 Usd daily agreed for fixin a large supramax from West coast India to China, the South African market is rumoured to do better and better, a 26,000 tonner was said to have been taken in Beira for loading South Africa and redelivery Cont at Usd 46,000 daily, while a 35,000 appeared to fetch Usd 63,000 daily for a trip from Durban to Cont/Med.
Banchero Costa and Co Spa
Mail: research@bancosta.it
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