Capesize (Atlantic and Pacific)
Again a positive end of the week with rates generally improving in most of the areas: $ 34,913 daily for the 4 T/C routes, in excess of $ 28 for Tubarao/China, about mid $ 13 for Brazil/Continent, about $ 11.00 for West Australia to China. In general the Capesize market grew 384 points and the 4 T/c routes grew by about the 16.5 %. Also period activity saw rates for large modern vessels in the low $ 30,000's daily range for one year and in the mid $ 30,000's for the short period.
Panamax (Atlantic and Pacific)
Business in Atlantic was very active for the whole week. Owners were generally optimistic about finding good rates in the future especially for short period. In Pacific some charters appeared to expect the market to peak but generally it seems that rates could be improved in the next grain season. In both basins period activity largely dominated the market with firmer paper values and expectation of increased grain shipments. Grain houses featured in the market with the expectation the US would supply the shortfall and booked ships for short periods.
Handy (Far East/Pacific)
The beginning of the week showed Supramax rates holding to previous levels, but activity afterwards showed to pick up with the North Pacific round voyage rate consolidating in the Usd 22,000 daily. Improved rates were agreed for local trips loading in South East Asia, both to the Indian Ocean or back to the Far East. Similarly charterers showed a larger interest to period fixing which led to quite a number of larger units booked for up to 12 month commitments at firmer levels. Handysizes paddled ahead a little slower even if rates for trips showed to get improving again by the mid/second half of the week.
Handy (North Europe/Mediterranean)
In the stronger Atlantic market charterers involved with the carriage of "dirty" cargoes were struggling to find coverage for their business. Owners can enjoy "clean" cargoes instead of the scrap requirements from Northern Europe and St Lawrence River. Even if cargoes kept improving their levels to attract the owners, only a couple of short period deals were reported, but the concluded activity was larger with the rest of the fixtures being kept confidential. Activity from the Black Sea was stil irregular to judge safely enough which way this market is going.
Handy (USA/N.Atlantic/Lakes/S.America)
New business from South America popped out at the beginning of the week and US Gulf stayed active mostly on the trans-Atlantic run, with an additional flow of optimisms all around. Improved figures were agreed for Supramax tonnage on early positions and some Supramax and Handymax tonnage fetched firmer rates to trade into the East. The smaller handies kept struggling to find a proper direction with most of the activity oriented to larger stems. Week ended quietly, perhaps due to charterers attempt to soften the excitement a bit by postponing the new trades to the next week.
Handy (Indian Ocean/South Africa)
While the smaller Handies facing huge difficulties to find an acceptable employment without ballasting away, the larger tonnage initially stabilised to previous week's levels. Afterwards larger interest for South Africa coal round voyages back to India showed daily t/c rates for this trade increasing daily and ending up fixing in the very high teens. Fixtures for India/China Supramax iron ore were still reported at contradicting levels, with some tonnage fetching better rates, others coming open on the Eastern Coast compelled to fix via Indonesia back to China to get an acceptable employment, and a large modern eco delivering in the area agreeing a quite firm rate for 5/7 mos.
Banchero Costa and Co Spa
Mail: research@bancosta.it
Web: http://www.bancosta.it/