Dry Cargo podcast for week ending May 24By james tweed • May 24th, 2013 • Category: Dry Cargo
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Thanks for downloading the dry cargo market report from Coracle Online and the Baltic Exchange for May 24th 2013. This report looks at the Capesize and Panamax and Supramax markets.
Starting with the Capesizes and this was another tough week for the big ships, though West Australia trades provided a glimmer of optimism. Once again though, holidays had an effect and activity tailed off as the week closed. Rates for West Australia/China improved over the week, with rumours of something in excess of $7.45 for end May-early June. There was talk of a 160,000 tonne 10% ore cargo fixed from Dampier to Qingdao for 4 June onwards at $7.40, with several cargoes still to be moved. Timecharter trading was erratic, with rates varying widely on ship size and speed. Noble booked a 170,000 tonner from Longkou for a Newcastle China run at $6,500 daily with an option of North China redelivery at $7,000 daily. There was some movement from Brazil but details were limited. A touch more activity in the North Atlantic failed to lift the gloom and a 177,000 tonner fixed from Cape Passero for a Colombia round at just $3,500 daily, while Bolivar/Rotterdam went on voyage basis at $8.
For the Panamaxes and this week saw some tightness for early ships open North West Europe, which helped support shorthaul rates, though there remained little fresh enquiry to support rates going forward. A 73,000 tonner spot Gdynia went at $11,250 daily for a trip from the Baltic with redelivery Gibraltar-Skaw range. Rates for the longer rounds from east coast South America were holding, though rates for ships heading east from Brazil/Argentina continued to slip as the pace on these trades slowed. Fronthaul trading was slow, with little activity from the US Gulf or US east coast. A 71,500 tonner agreed $14,000 daily plus $400,000 bonus for a trip from the US Gulf to west coast India. Charterers looked for more imaginative ways of fixing ships to grain, with Noble booking a 74,600 tonner from east coast South America for 3 to 5 months trading at $9,000 daily plus $430,000 bonus.
Rates tumbled in the East, with fewer opportunities from South America and a shortage of NoPac or Australia cargoes leaving ships ballasting south to overwhelm the Indonesia market. There was a spate of fixing with rates around $6,000 daily and $90,000 to $100,000 for APS Indonesia on the short rates, though owners may just decide to stay idle which could help the market to find a floor. Owners appeared to be more willing to consider period rates on offer but want to wait until the last minute, with spot kamsarmaxes allegedly willing $8,500 daily for a year.
Now the Supramaxes and there was a very quiet end to the week, as public holidays in Singapore resulted in a lack of activity in the East. In the Atlantic, the market remained fairly steady although a nice Japanese built 56,000 dwt vessel was booked for a trip from the US Gulf to Japan with grains at an unexciting $18,100 daily. Whether this fixture was representative of the market or not remained open to some debate. The market for tonnage from north coast South America was said to be fairly tight, as reports emerged of a 2001 built 50,000 dwt vessel being booked for a trip with clinker to West Africa at a good $21,750 daily. In the South Atlantic, a Tess 58 type was reported to have been fixed for a trip from east coast South America to Singapore-Japan range at about $14,000 daily plus a ballast bonus of about $400,000.
Thanks for listening