Review of a more positive week for Dry cargo shipping #maritime Oct 1By james tweed • Oct 1st, 2012 • Category: Dry Cargo
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Thanks for downloading the dry cargo market report from Coracle Online and the Baltic Exchange for Oct 1st 2012. This report looks at the Capesize and Panamax and Supra markets.
We start with the Capesize sector in what was essentially a positive week, with rates for the West Australia/China run hovering around the upper $7 range, with the early positions fixed at $8 or the very low $8’s. BHP Billiton and Rio Tinto were again active in the market, with a handful of others.
Increased activity from Brazil to China saw rates at around $21 for 20-30 October and $23 for prompt positions. There was little activity for ships in the north Atlantic for ships going east, but rates were generally steady. There was talk that business was done from Gibraltar for a trip via Trinidad to the East at $25,000 daily.
Looking at the Panamaxes and the BPI fell to a record low this week with rates at the start of the week in freefall in the Atlantic. The list of cargoes has grown, but there remained a long list of tonnage ,and many of those were operator controlled. It was unclear whether the bottom had been reached, but rates agreed on APS basis for transatlantic routes were equating to just a few hundred dollars. Fronthaul trading saw rates hovering around $10,000 to $11,500 daily for ships Gibraltar-Skaw. Ships in the US Gulf faced a poor market and although rates were hovering around $13,000 daily plus $300,000 bonus, many of the ships in the area have ballasted in from the East or are waiting.
In the East rates were flat. There had been a slight improvement with increased NoPac trading lifting rates a touch, but south-east Asia cargoes thinned with essentially a plentiful supply of tonnage. Owners idling their ships have prevented rates falling any further having refused to move at rates around $5,000 daily and $50,000 or $60,000 bonus. Ships fixed on a D.O.P. basis were very few and in good delivery close to the load area were barely around $4,000 daily.
It’s been another flat week for the supras in the Atlantic with little encouragement to be gleaned in any location. There was talk that in the US Gulf that a nice Japanese controlled 56,000 dwt vessel was booked for a trip to Turkey at about $11,000 daily. In the southern hemisphere, there was a report that a 2002 built 50,000 dwt vessel was fixed for a trip from East Coast South America to India at about $12,500 daily plus a ballast bonus of about $250,000.
Handysize rates in the North took a turn for the worse with reports that a 2011 built 30,000 dwt vessel that had been spot for about six days in the Caribs was fixed for a trip APS Norfolk for a trip to the Continent at about $7,000 daily. The modest revival in the fortunes of the Far East market stalled as activity wound down in anticipation of the upcoming holidays in China.
Thanks for listening