The chartering market is devoid of enthusiasm. The brief respite of increased demand earlier this week seems to have been misread as a trend reversal. On the other hand the gathering of shipping people in Greece and in Bergen certainly contributes to the slower conditions. From the Baltic, timber charterers are likely to put in own tonnage of 33-35,000 dwt for a trip to east med rather than taking in market tonnage. Grain charterers would like to cover 25,000 mt wheat from GNS to South Africa at US$ 22-23/mt, which given an earlier fixture of 45,000mt from the Baltic to South Africa at US$ 26/mt looks a bit silly. A 34,000 dwt was fixed to the USG at US$ 6,500 daily. Scrap charterers are trading Supra tonnage at around US$ 10,000 daily to the eastern Med.
Handy bulk rumoured rising in South Atlantic
The South Atlantic Handy bulk trades are rumoured to be seeing more interest for mid-month positions as ECSA trips to the Continent are said to be in talks for up to US$ 6,000 daily on Supramax tonnage. (p. 1)
Coasters: Trips to the north see steady rates
Northbound shipments from the Turkish Med to Ireland are getting steady freights of mid EUR 20s/mt with EUR 25.5/mt observed on a 5,000mt parcel. (p. 1)
Business booming for Moroccan fertilizers
Granular phosphate exports from Morocco surged 34% year-on-year over the first four months of the year, according to the Foreign Trade Bureau. (p. 2)
…continue reading in today’s BMTI Daily Report.
India becomes main driver in global coal demand
Analysts note that India’s imports of Australian coking coal have grown enough to be comparable with those to China and Japan. India already accounts for up to 25% of Australia’s monthly coking coal exports. (p. 1)
Encouraging Handy trends limited to the East
The only highlight seems to be the Handysize market in the East. A 30,000 dwt vessel was taken for an Aussie RV in the low US$ 7,000s daily. (p. 2)
Sulphur regs loom while bunkers stay old school
…now some 84% of bunkers is still heavy fuel oil (HFO). Long-term investment decisions will have to be taken by ship owners, operators, financiers and refiners to reduce local pollutant emissions. (p. 3)
…continue reading in today’s BMTI Daily Report.
Trends are ascendant for the Capesizes for the first time in nearly two weeks with average rates up by 4-5% at midweek. There is said to be more action below the surface with a likelihood of more fixtures by the afternoon. For now, Pacific ore voyages are the main deals with Dampier/Qingdao steady at US$ 6.2/mt on tonnage of 170,000mt. The Pacific round for Capesizes jumped US$ 700 to US$ 13,000 via Japan. TARVs grain US$ 250 to reach US$ 11,500 daily via Continent where general sentiment is lightly buoyant.
Panamax activity has grown modestly on the Continental front haul into the middle US$ 13,000s, but the market itself remains broadly flat. Trans-Atlantic rounds have stabilized at about US$ 7,250 daily but are under pressure with a downside. South America, some brokers say, is returning to the market as grain purchasing resumes, thus boosting front haul trades. The ECSA Kamsarmaxes to NoPac are securing APS rates near US$ 12,000 daily plus US$ 500,000 BB.
Modest indications of recovery in the Atlantic at the start of the week start to build some momentum in Handy bulk markets by midweek on signs that USG front hauls are on the way back up as upwards of US$ 20,000 daily is secured to CJK on 58,000 dwt ships. Also from the USG, trans-Atlantic trips to the Continent have also been showing signs of improvement with middle teens of up to US$ 15,000 daily obtainable on Ultramaxes on UKC-Med redelivery, sources report. The South American exports are still sporadic with some brokers describing the market as “catch as catch can” given the lack of consistent trend from the ECSA agri-prod spot markets. At any rate, Handysizes of 32,000 dwt have been securing lower teens of US$ 12,500 daily from ECSA into the Far East, we are told, which is a significant upgrade from last week. Then again, we also hear that pressure is growing on this run with one Supra recently unable to secure anything higher than US$ 12,000 DOP.
…continue reading in today’s BMTI Daily Report.
Glimmers of hope in Q1 suggest improved Q2
Dry bulk markets emerged in early 2017 as more robust than many had expected with global growth leading experts to hastily upgrade their forecasts for the coming year. An early year revival in iron ore and coal imports to the Far East, driven by a firming in global steel prices, in addition to a recovery in niche mineral markets—notably the lifting of Indonesia’s mineral export ban—have seen a Pacific-led rebound following the Chinese New Year in early February. China’s ban on North Korean coal imports in February was also seen as an encouraging sign that Chinese coal imports would have to extend seaborne trade in order to compensate. North Korea is China’s fourth biggest source of coal, after Mongolia, with 22.5 Mt shipped in 2016 (up from 19.6 Mt the year before), thus a not-inconsiderable contributor to China’s energy mix. (p. 1)
Emerging markets return after six-year slump
Sustained growth in India’s GDP, steady near 7% in the final quarter of 2016, is also seen as an encouraging signal for eastern-based dry cargo transport growth. China and India, most notably, have moved to shift their coal sourcing away from domestic supplies and increasingly toward import shipments. The Atlantic market, while buoyed by new enthusiasm in the East, has been steady thanks to seasonal demand from South America. It remains to be seen, brokers say, whether the Atlantic will mount a similar rally as the Pacific that would conceivably push freight earnings to new highs where they would stay through the year, boosted by global growth. The ideal scenario for owners would be a push in Atlantic grain arriving with such strength in Q2 that it supplements the steadier Pacific market, leading to a virtuous cycle of continual earnings improvements. (p. 2)
…continue reading in today’s BMTI Daily Report.
Corrective days ahead for Panamaxes?
Technical analysis of futures markets last week were already suggesting Panamaxes were poised to enter a corrective phase and the start of this week seems to give that theory more credence with little fresh business emerging to prop up freights. (p. 1)
Attraction remains for Supras into the US Gulf
The USG stays tempting for Supras and Ultras whilst the Handysizes still trail their larger brethren. (p. 1)
Notable rise in containership sales YTD
Activity in the secondhand containership market has been considerably stronger in 2017 than in 2016 with the first quarter of the year seeing around 59 containerships sold (261,911 TEU) compared to just 28 containerships (79,126 TEU) sold second¬hand in the same quarter last year. (p. 2)
…continue reading in today’s BMTI Daily Report.
Fresh demand on inter-Continent trades
Inter-Continent business is looking stronger with US$ 13,500 daily (and even US$ 14,000) on steels from the Baltic to the Adriatic on 28,000 dwt ships. (p. 1)
Coasters: Azov offers widen as activity slows
The Sea of Azov coaster market is, by all signs, stable, though indications are—brokers warn—quite variable, depending on the reporting source. There have been, for instance, quite a few indications for 3,000mt wheat parcels from Yeisk to Marmara at rates in a wide range of US$ 19-22/mt. (p. 1)
SE Asia remains crucial for eastern Handies
Stronger rates have been seen from SE Asia with 32-36,000 dwt vessels getting US$ 8,000 and higher on trips from Vietnam to Northern China. (p. 2)
…continue reading in today’s BMTI Daily Report.
Recovery seen in Panamax front hauls
Panamax front hauls get a modest revival at the end of the week as a surge in eastbound demand from South America and the Continent helps push rates back up by some US$ 500 into the high teens of US$ 17-18,000 on UKC delivery—or even up to US$ 20,000 on ECI redel from the Continent. (p. 1)
Black Sea Handies looking bubbly with grains
Handysize grain stems continue emerging from the Black Sea trade area, with Bunge quoting 25,000mt from Nikolayev to Morocco, talking US$ 12-13/mt basis free d/a at loading. (p. 1)
Indian Ocean highlight for eastern Handies
The buoyancy in the Indian Ocean market seems to be unbroken. (p. 2)
…continue reading in today’s BMTI Daily Report.
Dry Bulk Rate Trend
Strong momentum for Atlantic Panamaxes
Positive trends accelerate for the western Panamax market with strong gains in trans-Atlantic trades pushing the TARV benchmark over US$ 11,000 after a number of weeks in the four digits. (p. 1)
Baltic-based Handy bulk rates ascendant
Off the Baltic, a 37,000 dwt was booked for a cargo to South Africa equivalent to US$ 13,250 daily. (p. 1)
Coasters: Northern rates rise as Q2 approaches
With weather warming as well as the new quarter approaching, business activity has continued to warm up in the northern European coaster markets, according to brokers, with owners finally securing upgrades in their freight offers. (p. 2)
…continue reading in today’s BMTI Daily Report.
Owners retain negotiating edge in talks on Atlantic Handies
Momentum remains on the side of the Handy bulk owners with upgrades afforded on eastward runs from UKC and Black Sea into the high US$ 13,000s daily, despite only sporadic business on that route. (p. 1)
South America remains key driver for inter-Atlantic trade
From South Brazil, a 39,000 dwt was proposed US$ 11,500 for a trip to the Med-Black Sea. (p. 2)
Approach of Q2 hastens short sea urgency in charterers
The upcoming quarterly switch has upped owner urgency to fix business while they can in Q1. (p. 2)
…continue reading in today’s BMTI Daily Report.
New energy observed in western Handy bulk
Atlantic Handy bulkers, after a few uncertain days, appear to have gotten some fresh wind in their sails with several new streams of cargo orders coming on from the UK-Continent and Mediterranean. (p. 1)
Black Sea Handsize market seems in rude health
The Black Sea remains surprisingly vibrant as owners test charterers by raising their numbers. US$ 14.5/mt for 30,000mt grains to ARA does not seem that easy with tonnage proposed at US$ 16.5/mt. (p. 2)
Coasters: Northern owners remain optimistic
Trips for larger parcels of 5-6,000mt are getting mid-high EUR 20s/mt of EUR 26-28/mt from the GNS to the Turkish Med with some owners insisting EUR 30/mt is very likely to be obtainable on the same run by the beginning of April. (p. 2)
…continue reading in today’s BMTI Daily Report.
Southeast Asia keeping Handy bulk busy
Handysizes continue to secure rates in the five digits on Aussie trips ex-Indonesia into the NoPac. (p. 1)
Tighter avails in river-sea going Black Sea
Traders say sentiment is again on the positive side in the Black Sea river-sea going market as avails have started to tighten and rates see mild improvements over last-done. (p. 1)
Reduction in US redel box rates from China
On the trans-Pac routes, the Shanghai-to-USWC run decreased 4.8% to US$ 1,424/FEU while Shanghai-to-USEC has fallen to US$ 2,887/FEU. (p. 2)
…continue reading in today’s BMTI Daily Report.
The spot market remains tilted toward owners with activity still holding to higher-than-average levels in the northern trades of the Baltic Sea and North Sea coaster routes. But with rates still not demonstrably higher than they were 2-3 weeks ago, there is also little basis to call it a rally of the kind clearly taking place across the Atlantic Handy bulk sector. UK exports to North Spain are sporadic—as strike conditions at Spanish ports have slowed trade—with rates in the range of EUR 14-17/mt, interestingly with delivery WCUK on the lower end and ECUK on the higher end of that range on parcels of 4-5,000mt. Westward trips from ARAG to WCUK are fixing up to EUR 15/mt and closer to EUR 13-14/mt on ECUK redel. Among all the northern trade regions, the Baltic Sea is still the strongest in terms of supply-demand gap with just a slight increase in demand from present levels likely to set off the long-desired freight hike that shipowners have been predicting. Tonnage is decidedly less tight in the Irish Sea and North Sea, though charterers are having no success in pushing freights any lower than last-done levels with westward redelivery to Ireland from the German Baltic getting EUR 15/mt and rumoured to be fixing up to EUR 15/mt on 5,000mt parcels. Better weather seems to have been a modest boon to owners with charterers more willing to put cargoes on the market without the risk of having them tied up at port due to stormy conditions. Earnings have been generally unchanged on standard trans-Baltic shipments with 3-4,000 dwt ships still getting mid EUR 2,000s of about EUR 2,400-2,600 daily on non-ice class tonnage. Most owners remain optimistic about March with trends among the deep-sea bulkers also providing some encouragement, however indirect.
Read more news about European coaster markets in the BMTI Short Sea Report.
Eastern Handies remain ascendant, albeit slower The heat seems to have cooled slightly in the Handy bulk sector, but owners … Continue reading
Capes cooling down The Capesize market has slowed down with little activity seen in the waters at the moment. But … Continue reading
Western Handy bulk sentiment in upswing Atlantic Handy bulkers have enjoyed a considerable improvement in sentiment even as their fixtures … Continue reading
Upside remains, if barely, on Pacific Panamaxes NoPac rounds are still securing low US$ 7,000s on modern tonnage, which owners … Continue reading
Solid trends abound for Far East Handysizes Handysizes have had a good week in the East as Aussie trips from … Continue reading
Futures markets suggest Capesize recovery Long-term derivatives have 2018 Capesize contracts approaching a key level of resistance at US$ 11,990, … Continue reading
Capesizes still in the doldrums The Pacific rounds are talked now at rates around US$ 6,000 daily which is some … Continue reading
Another week at similar levels An interesting flurry of fresh cargoes showed up in the Northern markets recently with a … Continue reading
Panamax resurgence amid flood of new fixtures Today will likely see a rise in assessments as the new round of … Continue reading
Chinese New Year begins at end of the week With Chinese New Year coming up at the end of this … Continue reading
Westward trans-Baltic shipments remain stable Cargoes of 6,000mt SMB from Kaliningrad are said to be fixing around EUR 13-14/mt to … Continue reading
Positive undercurrents lift Capesize rates significantly higher as charterers start to wonder whether they should call owners’ bluff or wait for the next collapse, as has been frequently the case. Surely, the still-limited activity in the Pacific basin, only slightly surpassed by middling Atlantic spot action, suggests that a base of fixing activity is lacking. Nonetheless, an upward correction is in full week and it would seem that the market level has some ways to rise still before the new balance is achieved. In the event, the trans-Atlantic RVs increase by nearly US$ 1,000 to closer in the low-mid teens of US$ 13-14,000 daily.
…continue reading about the dry bulk chartering market in today’s BMTI Daily Report.
Slow but steady gains in western Panamaxes Modest upgrades shift Atlantic Panamax rates ever higher, albeit at a snail’s pace, … Continue reading
There are glimmers of promise for 2017 dry bulk stocks, as highlighted by a recent report by Pareto of Norway … Continue reading
Ice conditions bring premiums in Baltic Sea trade
Owners prepared to face ice can command nice premium rates, like around US$ 10,000 daily even with UK delivery and via St. Petersburg to USG-USEC for 40,000 dwt tonnage. (p. 1)
Revival in USG Handy bulk trades
Several Handysizes have been fixed from the US Gulf to the UKC-Med at rates in the low-mid teens of US$ 13-14,000. (p. 1)
Coasters: Azov owners see 2016 rates as sub-par
Ships employed from deep sea water ports earned an average of US$ 250 daily lower than in 2015 and US$ 500 daily lower than in 2014. (p. 2)
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Atlantic Panamax trends remain positive
An obvious recovery in Atlantic sentiment is afoot with strong upgrades noted on both trans-Atlantic and front haul business with upwards of US$ 500 added to both runs, taking them to US$ 7,500 daily and US$ 12,000 daily, respectively. (p. 1)
Eastern Handy bulk freights under pressure
For Indonesia to New Zealand rates have dropped to around US$ 11.0-11.5/mt. (p. 2)
Oil gains after Saudi Arabia cuts production
Global prices for crude oil closed higher on Thursday after intra-day fluctuations. (p. 5)
Continue reading in today’s BMTI Daily Report.
Rates surge for Capes as 2017 business begins
Starting the year with a bang, Capesize rates surge by as much as US$ 2,000 from their pre-holiday levels to put the Pacific round voyage back into the five digits of US$10,000 daily plus on 180,000 dwt ships. (p. 1)
Coasters: Volatility in Black Sea long hauls
Long runs to the Egyptian Med (grains of 5,000mt on 46′ stowage) are getting freights of US$ 37/mt and US$ 38/mt from Azov and Rostov, respectively. (p. 2)
Turkish scrap imports grow nearly 11% in 2016
Imports of scrap metal from the US, still Turkey’s top supplier, declined by 8.6% in the 11 months to 3.1 Mt while those from Russia, Turkey’s second-biggest supplier, rose by 7.9% to 2.4 Mt. (p. 2)
…continue reading in today’s BMTI Daily Report.
