The Capesize Timecharter Average (C5TC) experienced a decline of US$1507 week-on-week, settling at US$22 190 on Friday. In the North Atlantic, a few INL breaching fronthaul cargoes with mid-April loading were fixed, reflecting US$42 313 on the C9 route by the end of the week. In Brazil, rates started to improve since mid-week after more cargoes entered the market with second half April dates. There was talk of a tight ballaster list with end April arrival dates. The C3 route ended the week by increasing US$0.405, reaching US$24.485. In the Pacific, the C5 laycan window has fully shifted to April dates. However, it was a rather slow week overall as miners remained absent from the market for various reasons for a few days within the week. The C5 route was marked at US$9.35.
Overall, a week of slow erosion for the Panamax market. This is despite some resistance and a limited push on FFAs. Again, the North Atlantic returned a distinct lack of demand, this continued to undermine the market here and there were few deals of note. Activity ex North America still applied some uncertainty in some quarters, but spreads settled down a little this week as the market awaits definitive news. An 82 000 dwt achieved US$17 000 for a trip via NC South America redelivery Singapore-Japan. Trade ex-South America returned an active week, varying rates were witnessed for fronthaul trips, for index dates the mean average returned around US$12/12 500 levels. Asia returned a mixed week with varying degrees of rates fixed for the longer round trips. Rates ranging from US$12 500 to US$15 500 for nice grain clean types ex NoPac. There was limited period activity, although the highlight a nicely described 82 000 dwt delivery China achieving US$17 000 for three to five months period.
Overall, a week of slightly positive gains was seen for the sector. The US Gulf did see positive moves at the beginning of the week although some said it may a peaked for the time being. The South Atlantic remained finely balanced whilst the Mediterranean – Continent lacked fresh impetus. A 61 000 dwt fixing a trip from the Baltic to West Africa at US$14 000. Whilst a 63 000 dwt fixed delivery West Africa for a trip via South Africa to the Far east at US$15 500. The Asian arena saw stronger levels with better demand helping the owners side. The Indonesian market remand active, a 64 000 dwt fixing from here redelivery WC India at US$17 000 option redelivery EC India at US$18 000. Whilst for trip to China a 58 000 dwt was heard fixed in the mid US$15 000s. Demand seem to wane a little further north, although a 63 000 dwt open China fixed a NoPac round at close to US$15 000. The Indian Ocean saw increased activity, a 61 000 dwt fixing delivery Port Elizabeth for trip to China at US$15 000 plus US$150 000 ballast bonus. Period activity remained in play, a 60 000 dwt open Japan fixing 7/9 months trading redelivery worldwide at US$14 000.
This week, the market saw minimal visible activity across both basins. Rates appeared supported in the Continent and Mediterranean, with sentiment remaining generally positional. A 33 000 dwt open Iskenderun 20/21 March was placed on subjects for delivery Canakkale trip with grains to redelivery USA at US$9250. In the U.S. Gulf, sentiment stayed subdued, with the tonnage count maintaining its length and putting further downward pressure on rates. The South Atlantic market fundamentals remained balanced, particularly for larger sizes. A 40 000 dwt vessel was fixed for delivery at Recalada redelivering to the US East Coast at US$16 000. In Asia, some sources noted a slight increase in the tonnage count, but decent cargo volumes have helped keep rates at healthy levels. A 33 000 dwt vessel was fixed for delivery in Singapore, via Gladstone, redelivering to Samalaju with alumina at US$10 500.
