Capesize (Atlantic and Pacific)
Very depressing week in the Capesize market with rates in free fall: 5TC average lost almost $7,000/d going from $25,000/d to $17,200/d. Tubarao-Qingdao route lost progressively $3/mt from Friday to Friday closing the week at $15.79/mt for mid-August dates. Rates on Brazilian RV went down as well going from $20,000/d to mid $14,000/d. Saldanha Bay-Qingdao route followed the same path: it decreased every day of the week and, after losing almost $3/mt, it reached high $11/mt. W Australia-Qingdao route was under pressure as well: rates lost more than $1/mt on Monday and closed the week at $6/mt for first half of August laycan. Pacific RV was also in free fall: it lost almost $10,000/d in a week closing on Friday at $11,800/d. Rates in the Atlantic basin had a fast decrease as well and they lost overall $10,000/d: Fronthaul closed on Friday at $35,750/d and TransAtlantic followed the same path going from $31,000/d to $21,900/d in a week.
Panamax (Atlantic and Pacific)
In the Atlantic basin activity was lower compared to previous week: few bids were recorded both for ECSAm-F East route and for TransAtlantic from ECSAm, showing significant decreases in rates: a Panamax was fixed at $14,000/d basis dely aps ECSAm to Cont. Some activity was recorded from USG instead: a Kamsarmax was rumoured at $16,000/d basis dely aps for a TransAtlantic to Cont and another unit was rumoured at $15,000/d for a trip from USG to F East basis dely Gibraltar. The Baltic basin experienced some decreases in rates as well: a Panamax was fixed for a Baltic RV at $13,000/d basis dely dop Rotterdam. Limited activity was recorded from BSea area too. The Pacific basin witnessed a tremendous slowdown: rates on Post Panamax units were rumoured below $9,000/d from N China for a Pacific RV. Rates on Kamsarmax units were in the low $10,000/d from N China/Japan range for a NoPac round trip. Indonesia witnessed a limited activity too: a Panamax on Indonesia RV was rumoured in the $8,000/d.
Handy (Far East/Pacific)
The market in F East remained substantially stable compared to previous week: only a little decrease was recorded at the end of week both on Handysize and on Supramax units. A 57,000 dwt with dely N China was fixed at $7,250/d for a trip via Indonesia to mid-China, a 53,000 dwt with dely S China was reported done at $8,750/d for the same trip and a 53,000 dwt with dely Korea was rumoured at $7,600/d for a trip via CIS to SE Asia. Regarding West direction, a 60,000 dwt with dely Vietnam was rumoured at $9,500/d for a trip via Indonesia to full India, a 56,000 dwt with dely N China was fixed at $5,000/d for the same trip and a 52,000 dwt was rumoured at $6,000/d for a trip via Indonesia to WCI. In the Handysize segment, a fancy 35,000 dwt with dely Philippines was rumoured at $6,000/d for a trip via ECI to SE Asia.
Handy (North Europe/Mediterranean)
Stable week in Cont both on Supramax and on Ultramax units: not much activity was recorded on both segments. In the Handy size segment, a nice 35,000 dwt was fixed at $10/11,000/d basis dely Cont for a trip with scrap into E Med. In the Supramax segment, a nice Tess 58 was rumoured at $13,500/d again with scrap Cargo to E Med, 35 days duration wog. On Fronthaul, owners of a nice 63,000 dwt open in Cont were ready to fix at $22,000/d for a trip via Baltic to India with fertilizers while charterers evaluated the trip at $20,000/d. The market was pretty firmin Med/BSea area. Operators mainly saw uncertainty and were not very keen in booking forward cargoes. Rates on trips to F East surely went down on all sizes: rates on Supramax went from $23/24,000/d to $20/21,000/d, even if owners kept asking numbers in the mid $20,000/d. Also rates on trips within Med/Cont area went down with Handy size units asking $8,000/8,500/d but then fixed below $8,000/d. What surely got a positive trend was the trip from BSea to USG or to ECSAm which got an improvement of $2,000/d within 7 days. Owners tried to keep a positive sentiment but it seems it will not last long.
Handy (USA/N.Atlantic/Lakes/S.America)
Rates in the Supramax and Ultramax segments remained stable but at the end of week some softer sentiments came over USG area. On Trans Atlantic RV, Supramax units were still fixed in the $15/16,000/d and Ultramax still in the $19/20,000/d. On Fronthaul as well rates were similar to previous week with Supramax units fixed at values close to low $20,000/d and Ultramax in the high $25,000/d. The Handy size segment kept showing the same trend of previous week with stable rates: on TransAtlantic, 32/35,000 dwt units in fact were still fixed around $10,000/d and larger 36/39,000 dwt in the $13,000/d. The market in ECSAm started showing a slow but constant decrease during the week both for in the Supramax and in the Ultramax segments. Despite the Handy size market kept showing positive values, the overall sentiment remained bearish: rates on TransAtlantic trips went from $12,500/d to $13,300/13,500/d, mainly due to the lack of tonnage in the area. Rates on trips to F East remained almost stable reaching $17/17,500/d. On short period, rates on Handy size units remained strong around $14,000/d for 3/5 months periods with redely World wide. The Supramax and Ultramax segments unfortunately did not follow the same trend of smaller units losing few hundred dollars for trips in the Atlantic basin and much more for trips to F East. On Trans Atlantic RV, Supramax units were fixed at $14,000/d and Ultramax at $16,500/17,000/d. Rates on trips to F East were rumoured at $14,000/d + 400,000 bb on Supramax units and at $14,750/d + 475,000 bb on Ultramax.
Handy (Indian Ocean/South Africa)
The market remained more or less in line with previous week, with a small increment recorded. A 56,000 dwt was fixed at mid $12,000/d basis dely dop Pakistan for a trip via MEG to WCI and another 57,000 dwt was rumoured at high $13,000/d for a trip with redely ECI. From WCI, a smaller Supramax was fixed at mid $12,000/d with redely ECI and a Ultramax was at mid $13,000/d for a similar route. The market in ECI kept pushing up again: Ultramax units were fixed at $17,000/d and at the end of the week there were rumours of a Ultramax done at $18,500/d basis dely dop ECI for trips to China. Supramax units were fixed at $14/15,000/d with steel Cargo to Pacific basin and also with iron ore Cargo to China. Towards mid-week, Supramax units were even fixed at $16,000/d for similar biz. SAfr rates remained more or less similar to last done: a Ultramax was fixed in the low $13,000/d + low 300,000 bb for a trip to Pacific basin. A 61,000 dwt was fixed in the high $12,000/d + high 200,000 bb with coal cargo with Pakistan/WCI redely.
Banchero Costa and Co Spa
Email: research@bancosta.it
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