Capesize (Atlantic and Pacific)
After some very positive weeks Capesize marker recorded a sharp slowdown with rates under pressure in the Atlantic Ocean and out of Brazil, whilst the Pacific remained stable. The standard route from West Australia to Qingdao ranged between $9.90/mt and $9.80/mt for end December/early January dates. The TC was done in the region of $26/28,000/d and Saldanha Bay/Qingdao was fixed around $15.50/mt for the first half of January. Due to a lack of fresh cargoes for the first half of January, rates for the key route from Tubarao to Qingdao dropped losing almost $1.5/mt down to mid $19's levels. As a consequence, rates on the Brazil/UKC route softened too with a low $11.80/mt fixed for Tubarao/Rotterdam for the first half of January dates. In the Atlantic after $13.90/mt agreed for the route from Bolivar to Rotterdam, equivalent to mid $30,000/d TCE, rumours of low $13's traded due to absence of cargoes either for Transatlantic or fronthaul. Fronthaul was fixed at around $22.90/mt bss Seven Islands/Qingdao equating to mid $30,000/d. Almost absent the period activity due to uncertain market trend a part from rumours of very low $20,000/d agreed for short period bss dely ppt China.
Panamax (Atlantic and Pacific)
Last week showed one of the highest level of TC average in the Panamax Market but, at least so far, the top seems to be reached and now the market started to slow down and rates, therefore, softened. In the Atlantic Ocean, especially on the North Continent coal business, short duration trips drove market for modern Kamsarmaxes up to $25,000/d for the Baltic round voyages but, suddenly, came off as it was no fresh enquiry to sustain it. East Coast South America rates generally are on the same levels at the last done, whilst a prompt USG grain stem was rumoured to have been fixed at $46.0 per mt for a trip to China. In the Pacific Ocean, the good combination of both North America/Canada grain cargoes and Coal Indonesia/Aussie cargoes from the South brought to a large proportion of ships covered better at the beginning of the week but, again, demand was no longer supported as the week closed out and the market subdued.
Handy (Far East/Pacific)
The Supra rates kept sliding down through the week with still a not sufficient demand for the available tonnage. The already unattractive rates decreased of about $500/600/d on almost all trades, with the logical exception for the backhaul trade which, basis N China to W Africa, was indicated on Friday to be around $4,790/d, around $250/d more than the week before. Handies proved, once again, to enjoy a more balanced market, a fancy 38,000 size dely CJK was fixed at $7,100/d via N China to W Africa with steels and a similar type dely Spore did a trip to N Europe at $6,000/d for the first 62 days and $10,500/d thereafter. Nickel ore from Philippines to China was carried on a standard 56,000 dwt dely Zhoushan which got a rate of $9,000/d. The usual trade with coal from Indo to China reported an Ultra done at $11,500/d dely Spore and a similar unit dely E China fixed a trip via Indo to WCI at $8,850/d. A standard 56,000 size did N China/SE Asia around $7,250/d and another one dely S China fixed a trip with clinker to Vietnam at a better $11,000/d to cover the very short duration. After only 2 days an Ultra did a trip from HK to Spore with aggregates at just $9,500/d. A Tess52 delivering at Spore performed a trip with salt from Australia to Indo at a firmer $10,500/d and a 34,000 dwt delivering at Jakarta fixed a very short trip to Philippines at $10,200/d.
Handy (North Europe/Mediterranean)
The market in the Cont continued to show a good activity both on Handies and Supras but rates remained more flat than in other areas. Handies in these waters carried mainly fertilizers and wheat. A 32,000 dwt has been rumored to have fixed/failed a 5 days employment in the Cont with coal at $20,000/d. Supras in the same area have been fixed for a trip to the USG/USEC at $8,000/d, while scrap run have been fixed around $16,000/d bss redely E Med, int Turkey. In the B Sea/Med another stable week has been recorded and operators still prefer to use their tonnage to cover their previous bookings, indicating that the market is still strong enough. Preference for owners is for averagely long trips to avoid remaining open during the holidays. A 66,652 dwt 2014 built open Yuzhny 18 December was linked to a trip with grains to Spore-Japan at $19,000/d, and also a few period fixtures were reported including a 32,250 unit 2001 built open in the E Med that covered for a short period of minimum 3 to about 5 mos with redely in the Atlantic at $9,500/d. Other fixtures in the area showed a 56,800 dwt dely Gib ppt trip via Morocco redely W Africa $17,000/d and a 58,000 dwt rumored to fix $12,000/d for a trip from the E Med to the Cont.
Handy (USA/N.Atlantic/Lakes/S.America)
Market trend remain firm and, as far as December, activity remain good. With holidays coming, and several European countries closing as a consequence, everybody are trying to fix and cover remaining position. The feelings for the market in January are for a probable reduction of rates. USG/F East rates remain unchanged, USG/Turkey petcoke is around $1.0/mt more than last week (around $ 22.5/mt) and NCSA/Turkey was around $21.50/mt. Another positive week for the S Atlantic market, which not only continued the positive sign of the last 2 weeks but became stronger in a period of the year in which historically has a slowdown. The standard trip via ECSA to Skaw/Passero for Supras recorded a positive week passing from $10,600/d on Monday to $11,800/d on Friday. Handysizes recorded the same constant but weak growth on the transatlantic route from $16,300/d to $16,400/d, showing how the negotiations for the smaller tonnage are less subject to variability if compared to Ultra or Supra. For fronthaul the situation has been similar, a Tess58 dely W Africa agreed $14,525/d on Monday for a trip via ECSA to China and closed the week at $15,771/d. Ultramaxes was fixed at usd $15,000/d + $500,000 bb level.
Handy (Indian Ocean/South Africa)
The MEG/WCI area has started the week picking up with the support of many cargoes in the market. An Ultra was fixed bss UAE port for $14,000/d dlosp UAE for trip via Mina Saqr to India with limestones. Period rates have gone up as well with an Ultra agreeing $13,000/d for 3/5 mos short period. Supras which can trade Iran are heard to ask in the region of $17,000/d for trips to the Pacific. A 52,000 dwt was rumored to fix for 2/3 LL at low $12,000/d. Another 55,000 dwt was heard to be on subs carrying steel from Qatar to SE Asia at close to $12,000/d levels bss dlosp MEG port dely. As of Friday, owners of 53/55,000 units started seeing numbers up to $11,500/12,000/d bss dlosp WCI port for trip via the MEG to India with minerals. Low activity for RBay coal but other cargoes, including manganese ore, are coming out of S Africa giving ballasters some biz to Indian and Pacific Ocean. A Supra was reported to fix over $10,000/d levels bss WCI for 2/LL with redely back in MEG/WCI.
Banchero Costa and Co Spa
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