Capesize (Atlantic and Pacific)
Capesize market ended the week in a strong mood with decent volumes in Pacific. The standard route from West Australia to China went up to mid $7 pmt and over it for prompt dates. Bunker price went up considerably and boost voyage rates: Tubarao/Qingdao went up to mid $17 pmt for beginning December date. Beginning of the week was totally different evidencing bearish sentiment especially in the Pacific: premium of the route from West Australia to Qingdao compared to Tubarao/Qingdao become very thin but then West Australia pushed up again and situation was back to the original with shorter duration trip from China paying equivalent of about $19,000/d or $20,000/d and trip via Brazil in the mid $18,000/d. Period market was somehow stuck with wide gap between owners willing to cash in from buoyant spot market and charterers’ bids much lower as first part of next year is still pricing huge discount to the spot.
Panamax (Atlantic and Pacific)
In the Atlantic first part of the week showed the index declining but it has increased quickly in the last two days: short list of prompt ships in the North Continent and the West Mediterranean combined with fresh demand pushed TransAtlantic rates up: a 2017-built Kamsarmax which had fixed at $16,000/d for four to seven months at the beginning of the week has reportedly been re-let in the last day of week at $17,250/d. USG/China grain reported quite but the freight rate levels remained steady and activity from ECSA has increased slightly, although rates were relatively unchanged. In the Pacific, market was different with the rates decreased slowly but not dramatically for the whole week, and nice Kamsarmaxes with good specs still obtaining reasonable levels. It has been reported Kamsarmaxes and Post- Panamaxes have been more in demand on the mineral trades than the standard Panamaxes. The last part of week was quieter including period activity where it has been far less interest compared to the Atlantic with a 2005-built Panamax fixing at $12,750/d for five to seven months, with a drop of approximately $750/d on a comparable fixture last week.
Handy (Far East/Pacific)
Supramax market recorded a significant fall in demand with rates loosing around $2,000/d on all trades except for the NoPac and Australian RV, around $1,000/d lower, and for the backhaul to the Atlantic Ocean which is said also slightly increasing despite the scarce activity reported. A fancy 63,000 dwt was reported done for clinkers from China to Bangladesh at $14,000/d, a 56,470 dwt 2012 delivering at HK fixed a trip via Indo to India at $9,400/d, a 53,730 dwt 2009 fixed a similar trip at $9,000/d with dely Philippines, whilst near to the weekend a 56,000 unit delivering Indo was paid $11,800/d for a similar business. While no activity was reported on the nickel ore trade, the coal trade from Indo to China showed a negative trend for owners: a 57,000 dwt dely Spore agreed $9,500/d, while a modern 64,000 dwt was fixed at $12,000/d dely Malaysia. As usual the 28/38,000 dwt sizes managed a better resistance to this falling market and showed to suffer only a $500/d discount on the TC rates. A 32,070 dwt 2012 was reported fixed at $10,000/d for a trip with fertilizers dely N China and redely EC India.
Handy (North Europe/Mediterranean)
The market in the Cont recorded a steady week both for Handies and Supras. A Handy has been rumoured to have fixed coal on voy bss ex the Baltic to the E Med at $15,000/15,500/d bss dely Skaw. Handies have been paid around $13,000/d bss dely Cont for clean cargo to the Med and good activity was recorded also on fertilizers. Supra activity also was quite good during the week with rates for scrap to the E Med seen around $15/16,000/d bss dely Cont on a decent unit. A Tess 58 bss dely ARA range for TCT with scrap duration 30 days wog redely E Med int Turkey agreed $16,000/d. Fronthaul rates instead were around $19,000/d on a decent Supra. The last week has shown a B Sea market still strong but with some deflections. An Ultra been reported having fixed trip with grains to the Far East at the equivalent of $19,000/d bss Canakkale. Many operators still prefer to use their own ships to cover their bookings ex the B Sea, signal of a market still too strong to make any profit. Overall the market in the Atlantic has been a bit quieter as a result of Eisbein and few local holidays. A 74,100 aps Yuzhniy agreed $20,000/d carrying grains to China, while Supras/Ultras have been rated around $13,000/d bss pass Gib for single trips to WAF.
Handy (USA/N.Atlantic/Lakes/S.America)
The USG market slightly increased with nice Ultras fixed $21,500/d for trades from to the Med and $20,000/d carrying coal from USAC to the Cont. Few requirements from the USG has been recorded, while exports from USAC to Europe continued at high rates. S Atlantic market continued with its negative trend. A 53,200 dwt with dely aps Santos for a trip to Jeddah with redely Port Said int with sugar has reported fixed by Norden at $13,500/d, while Pacific Basin fixed a 38,900 dwt, dely ECSA for a trip with redely W Med at $15,000/d, which looked a good rate, considering that the cargo probably will go to Morocco. On Friday Owners of Tess 58 asked around $15,000/d aps, while charterers replying with $13,500/d, but no fixtures were reported for that size. Handies descent for the TransAtlantic route has been contained, if compared to Supras, from around $14,000/d aps ECSA to around $13,500/d level. A 28,600 dwt, dely ECSA and redely Port Said, has been agreed at $11,750/d for a trip to Yemen with grains, even if not very representative of the level of normal TransAtlantic route because of the longer duration. Fronthaul numbers had an identical negative trend, losing $1,000/d from the beginning of the week, from $16,607/d on Monday to $15,607/d of Friday bss dely WAF for a 58,000 dwt Tsuneishi built Supramax. Supramax Owners were asking $15,500/d + $550,000 bb aps on Monday, but decreased their expectation to a more modest $15,000/d + $475,000 bb, which seems not getting anyway, but very little activity was felt and no fixtures were reported.
Handy (Indian Ocean/South Africa)
Market maintained its negative trend and rates for Supras open in the MEG were around mid $12,000/d for trips to India. The activity was very scarce in the area with very few cargoes in the region for early November dates. Iran, on the other hand, gave good numbers for steel billets to UAE with a Supra fixed at high $14,000/d dop Dammam to India. Another Iranian offered $13,000/d dop for trips via Iran to WCI with gypsum in bulk. S African market as well heading down, on voyage bss the route Richards Bay/Karachi lost about $0.8/1.0/mt, and on TCT Supras were fixed at less than $12,000/d + $200,000 bb bss aps. Not much activity reported for trip to F East, and also on the period. An oversupply of tonnage available in WCI or Pakistan able to match November dates in Richards Bay is still reported.
Banchero Costa and Co Spa
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