Lacklustre performance from dry bulk shipping

Capesize

The derailment of a Rio Tinto train in Western Australia did not significantly impact the market. Activity in the Pacific increased significantly throughout the week, leading to the market finding a level and a positive turn by the week's end. The C5 index rose by 0.521, closing at US$10.656. In the Atlantic, the South Brazil and West Africa to China market also softened, at the early part of the week with an increasing list of available tonnage in ballast, which contributed to declining rates. However, the week ended on a positive note, with reports of improved fixtures on C3, causing the index to rise by 0.314, reaching US$25.094.

Panamax

A lacklustre week for the panamax market more noticeably in the Atlantic as limited demand was met with an increasing tonnage count. The Atlantic lacked trans-Atlantic demand and returned a predominantly fronthaul led basin with a steady grains and mineral flow from most origins, reports of an 81 000 DWT delivery Continent achieving US$26 000 for a trip via US East coast redelivery China. There was little to report on trans-Atlantic, some mineral voyage stems covered, equating to extremely low time charter equivalents. In Asia, it was a mixed week with the NoPac market lacking any kind of support rates consequently drifted, demand ex Australia picked up over the week with improved levels seen on the nearby position, reports midweek of an 82 000 DWT delivery South China agreeing a rate of US$18 750 for trip via EC Australia redelivery China. There was limited period reporting but it did include rumours of an 82 000 DWT delivery Japan fixed basis 10/12 months at US$18 500.

Ultramax/supramax

A rather subdued week overall which saw rates slip lower. Little in the way of fresh enquiry was seen in the US Gulf and the Continent-Mediterranean lacked fresh impetus with prompt tonnage readily available. A 57 000 DWT was heard fixed delivery Turkey for a trip via Black Sea readily West Mediterranean in the low US$13 000s. From East Coast South America brokers spoke of little fresh enquiry for end of May dates which again kept rates in check. A 58 000 DWT went from Santos to Bangladesh at around US$17 000 plus US$700 000. In the East, a further lack of fresh enquiry from Southeast Asia also meant rates remained lower than of late. However, the Indian Ocean seemingly gained momentum and some stronger levels were seen. A 63 000 DWT fixed delivery Port Elizabeth for a trip to China in the mid US$20 000s plus mid US$200 000s ballast bonus. Period activity was limited, a 63 000 DWT open Philippines was fixed for 3 to months trading at US$20 500.

Handysize

Limited cargo availability remained an underlying issue across the Atlantic, whilst in the Mediterranean a 37 000 DWT was placed on subjects basis passing Canakkale via the Black Sea to Barcelona at US$8 000. In the South Atlantic, a 36 000 DWT was fixed for a trip basis delivery Recalada with prompt dates for a trip to West Coast Central America at US$23 000, whilst a 38 000 DWT fixed from delivery in the River Plate for a trip to Algeria at US$17 000. Further North a 40 000 DWT was liked to fixing from Vila Do Conde to Norway with an intended cargo of alumina at US$14 000 plus a US$60 000 ballast bonus. In Asia, a 37 000 DWT logs-fitted vessel was fixed basis delivery in Southern China for a round trip via New Zealand with an intended cargo of logs at US$16 000. Period activity also remained as a scrubber fitted 38 000 DWT was fixed for 3 to 5 months at US$16 000 with 40% of the scrubber for charterer's benefit.

Read the article online at: https://www.drybulkmagazine.com/shipping/20052024/lacklustre-performance-from-dry-bulk-shipping/