Capesize
The Capesize market endured a notably weaker week overall, with the BCI 5TC shedding more than $4,000 before closing at $23,160, aided by a $742 uptick today. The Pacific struggled from the outset, with the lack of consistent miner presence weighing on sentiment and pushing C5 rates below $9.00 by midweek. The week, however, closed on a slightly firmer note, with two miners active and a fixture concluded at $9.50, offering some encouragement. In the South Brazil and West Africa to China market, thinner first-half September volumes and a growing ballaster list kept pressure on sentiment, although C3 bids around $23.50 for late September lent a more positive tone heading into next week. The North Atlantic remained relatively tight, with intermittent bursts of fronthaul and transatlantic activity, although fixtures generally concluded at levels softer than the index.
Panamax
The excitement this week predominantly emanated from the Atlantic again. The continued lack of early tonnage in the North had a profound effect on rates, with both robust fronthaul and sound transatlantic demand rates lurched, with $30,000 reported on a super-spec 87,000-dwt type delivery Continent for a US East Coast to India run the headline rate on fronthaul trades, whilst some talk that close to $17,000 timecharter equivalent was achieved in the North Atlantic for a transatlantic voyage deal, adding further fuel to the fire. The Pacific market by contrast was less supported throughout the week, with rates sliding day-by-day as tonnage count began to outweigh any demand ex NoPac or Australia, however solid demand all week ex Indonesia saw rates hover around the $14,000 mark for index type tonnage. Several period fixtures were reported due to an improving outlook and steady increasing paper values, with an 82,000-dwt delivery Korea for 9 to 11 months trading reported late in the week at $15,250.
/Supramax
Despite many still being away on their summer vacations, it was a solid week for the sector. Demand remained in the US Gulf for the transatlantic runs, with an ultramax being heard fixed at around $30,000 for the same. More cargo was seen from bother the Continent and West Mediterranean, with a 63,000-dwt fixing delivery Liverpool for a trip via Garrucha redelivery US East Coast at $13,000. The South Atlantic was a bit more stable and sentiment remained fairly positive.
From Asia, sustained demand helped owners’ expectations, with an ultramax from North China heard to have fixed a NoPac round at $16,750, whilst on the backhaul side of things a Supramax fixed again delivery North China for a trip to West Africa at $16,000. Further south, a 57,000-dwt was heard fixed basis delivery Singapore trip via Indonesia redelivery China at $19,000. The Indian Ocean was a rather lacklustre affair, with a 62,000-dwt fixing delivery South Africa for a trip redelivery China at $17,000 plus $170,000 ballast bonus.
Handysize
Like the larger size, it was generally a positive week for the Handy sector, certainly from the Atlantic. Better levels of enquiry were seen from both the North and South Atlantic. A 43,000-dwt was heard fixed delivery Recalada for a trip to Bejaia at $21,000 and a 39,000-dwt was heard fixed delivery Fazendinha trip to Morocco at $22,000. The Continent-Mediterranean also continued to see an upward trend, with a 28,000-dwt fixing delivery Sete for a trip via West Mediterranean redelivery Egyptian Mediterranean at $13,000.
The Asian arena remained rather balanced as brokers say demand kept pace with supply. A 37,000-dwt fixed delivery Malaysia trip via West Australia redelivery Arabian Gulf in the $14,000s. Period activity was limited, although a newbuild 39,000-dwt was heard fixed on an index deal basis delivery October at 121% of BHSI for 2 years trading.
Source: Baltic Exchange
