Capesize (Atlantic and Pacific)
Capesize market registered another negative week with rates dropped in all basins and an evident reduction of activity. In the Pacific basin the standard C5 routes from West Australia to Qingdao registered a strong slowdown with levels passing from $4.80/mt early in the week to $4.30/mt on Friday. Also the route from Saldanha Bay to Qingdao showed a very low activity with just little to be reported. On the South American market, only few cargoes available were reported out of Brazil, with softening rates and below $11.0/mt agreed for end July dates. Some backhaul businesses from Brazil were fixed around high $4.0’s pmt. In the Atlantic waters very low activity was reported, with just some short TransAtlantic trade fixed for a daily rate around low $5,500/d. In the same area some cargoes have been fixed for fronthaul trip in the region of high teens.
Panamax (Atlantic and Pacific)
A not really exciting week has been registered: the Atlantic basin remained steady with enquiry from the Americas, whilst the North Atlantic remained less active despite tonnage in limited supply. An 82,000 dwt 2016 built was fixed delivery passing Gibraltar for two-three laden legs redelivery being Skaw-Gibraltar range at $10,000/d for the first two legs and $12,500/d for the third leg. South America rates remaining similar to last week with an 82,000 dwt 2011 built fixed for an ECS American fronthaul at $10,750/d plus $575,000 bb, whilst for TransAtlantic trips a 77,000 dwt 2008 built was fixed delivery Ponta de Madeira for a trip redelivery Skaw- Gibraltar at $12,500/d. Limited activity also from South Africa. In Asia the market was still steady, a 92,500 dwt 2011 built was fixed delivery Japan for a trip via EC Australia redely Taiwan at $8,250/d and a 83,900 dwt 2013 built was fixed delivery Qingdao mid-July for a trip via Weipa redelivery China at $10,500/d and 81,700 dwt 2017 built was fixed for a NoPac round basis delivery Busan prompt redelivery India with petcoke at $9,500/d. Quite good activity in the period, a 82,100 dwt open Hong Kong was fixed for 11-13 months trading redelivery worldwide in the low $10,000’s and a 95,700 dwt open North China was fixed for a shorter period of four to six months redelivery worldwide at around $10,850/d.
Handy (Far East/Pacific)
The persistence of available vessels, in connection with a good volume of spot enquiry for local short trips, has maintained this area busy, and an increased number of fixtures has been reported done. The number of fixtures still didn’t support the rates and, only near to the weekend, a slightly more optimistic trend was registered. The usual nickel ore trade from Philippines to China showed two 58,000 units done in the mid $9,000’s/d with dely S China, a 53,000 dwt got $9,000/d from Spore and a 56,800 dwt was agreed at $8,350/d starting from EC China. Less interest was reported on the coal trade from Indo to China, where a 55,400 dwt dely Cambodia fixed at $8,500/d. Due to the limited amount of owners willing to trade in this area, a better $8,300/d was paid bss dely S Korea to a 56,000 dwt performing a trip to S China with cargo loading at CIS pacific, another unit dely S Vietnam was paid only $7,000/d to carry sand to Spore and a third similar type agreed $6,300/d to perform a trip with met coke from N China to the MEG. Supramax backhaul business from EC China to the UK was covered on a non-fuel efficient type fixed at $4,000/d for the first 70 days and $8,500/d for the balance. An Ultra dely N China agreed for 5/7 mos period at $9,500/d and another one with a similar dely got $10,000/d for 1 year. Handies kept struggling inside a much positional market, a 32,000 dely Japan got $6,750/d on a trip with steels to SE Asia.
Handy (North Europe/Mediterranean)
A fresh flow of business loading from the Black Sea didn’t show any significant influence on the rates due to missing reports. A 56,000 dwt delivering Canakkale was agreed at $8,000/d via the B Sea to S Spain. Clinker to West Africa showed a 55,700 size delivering Algeria done at $9,500/d via the Spanish Med and a fancier 58,600 dwt fixed $9,000/d starting from the Turkish Med. With a similar delivery a 32,300 dwt vessel got $6,000/d for a trip to the USG.
Handy (USA/N.Atlantic/Lakes/S.America)
The spot activity for the larger size out of the USG showed a slow start before recovering through the week with a positive influence on the rates. A 54,000 unit agreed $12,000/d on the usual petcoke trade from Texas to the Turkish Med and, thereafter, a 56,000 dwt with prompt dely New York was fixed at $13,000/d for a trip to the Cont. A similar trend was confirmed by the fronthaul fixtures concluded from this area, initially a 63,500 dwt was reported agreed at $20,000/d for a trip with petcoke to India, afterwards a 58,000 dwt got $19,000/d for similar business. Later in the week another Ultramax delivering at EC Mexico fixed a trip via the USG to S Korea at $19,000/d, while confirmation is still missing about a not fancy 57,000 dwt dely in this range rumoured to have been agreed at $10,000/d for 12 mos period. Activity on the Handy market was still scarce, a 34,000 dwt dely Tampa was said to have agreed $8,000/d for a run to Brazil. The chartering was generally quiet from S America, a 61,700 dwt was said to have been fixed on subs for a fronthaul trip at $12,750/d plus $275,000 bb, while prompt Handy tonnage was piling up in the area seeking for business.
Handy (Indian Ocean/South Africa)
The basic trades keeping this area busy have still to come; a 50,000 dwt dely at Jebel Ali was fixed for a trip via the MEG, excluding Iran, to SE Asia at $9,350/d. The $9,000/d reported agreed on a 22 year old 24,000 dwt dely at the R Sea for a trip via the Arabian Sea to SEC India appeared quite surprising even if, in these waters, sometimes have been reported good opportunities for smaller tonnage willing to trade with difficult countries and cargoes.
Banchero Costa and Co Spa
Email: research@bancosta.it
Internet: www.bancosta.it