1 HIGHLIGHTS Capesize: A firming market is pushing rates upward Panamax: Increasing number of grain car- goes out of US L&S INDEX OF DRY BULK STOCKS* Due to somewhat higher de- mand for iron ore and coal, we have seen a firming Cape mar- ket with West Australia/ Qing- dao rates pushing above US$8/ Mt for the first me in a while. The transatlanc market has seen improved acvity with much of the spot/prompt ton- nage fixed. The front haul mar- ket keeps edging upwards, and charterers are aiming at US$ 19.25/Mt. Towards the end of the week rates in the Pacific surged even more, and the highest reported fixture was reported at US$8.85/Mt. Not too much acon for period rates, 1 year TC was said to be fixed at US$20,500/day with early delivery in Brazil. At the beginning of the week there was sll oversupply of tonnage and not enough fresh enquiries to boost the rates in the Pacific. Rates for US Gulf/ Far East remained unchanged, likewise for East Coast South Australia. Owners willing to take the trip at this moment are sll able to hold out for slightly higher rates, and wait for the acvity from US Gulf to pick up. Mid- week, we started to see beer senment in the market, more US grain cargoes started to fill the market for September and smulated owners to increase their rates from approximately US$41.5/ Mt up to US$43-44/Mt. This could tempt owners to switch their focus away from transat- lanc onto front haul voyag- es. We have seen more DOP fixing in the East this week, although there is not enough volume to exclude the APS market. The East Coast South Australia market also firmed towards the week-end. Both Handymax and Supramax markets connued to move upwards last week with gains across the board. Although rates in the Pacific finished higher at the close of the week, rates are sll on the low side, with a lot of tonnage available in the South East Asia region. Acvity in the Atlanc conn- ued to increase, and is ex- pected to connue with the US Gulf market on the rise and the coming grain season in the Black Sea upon us. With the winding down of summer holi- days we expect to see conn- ued improvement in both ba- sins. Week 33 CAPESIZE PANAMAX SUPRAMAX/HANDY -Shipbrokers and consultants since 1919- Weekly Dry Bulk Report 0 20,000 40,000 60,000 80,000 100,000 120,000 1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 US$/day Capesize Timecharter Average (TCA) 5 Yr Low 5 Yr High 5 Yr Avg 2014 Ytd
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Weekly Dry ulk Report Week 22 May 30th 2014 … · Week 22 May 30th 2014 HIGHLIGHTS Capesize: ... Robert . Tangney Robert ... Marthe Lamp Sandvik [email protected]+47 22 52 77
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May 30th 2014 Week 22
HIGHLIGHTS
Capesize: A firming
market is pushing
rates upward
Panamax: Increasing
number of grain car-
goes out of US
L&S INDEX OF DRY
BULK STOCKS*
Due to somewhat higher de-mand for iron ore and coal, we have seen a firming Cape mar-ket with West Australia/ Qing-dao rates pushing above US$8/Mt for the first time in a while. The transatlantic market has seen improved activity with much of the spot/prompt ton-nage fixed. The front haul mar-ket keeps edging upwards, and charterers are aiming at US$ 19.25/Mt. Towards the end of the week rates in the Pacific surged even more, and the highest reported fixture was reported at US$8.85/Mt. Not too much action for period rates, 1 year TC was said to be fixed at US$20,500/day with early delivery in Brazil.
At the beginning of the week there was still oversupply of tonnage and not enough fresh enquiries to boost the rates in the Pacific. Rates for US Gulf/ Far East remained unchanged, likewise for East Coast South Australia. Owners willing to take the trip at this moment are still able to hold out for slightly higher rates, and wait for the activity from US Gulf to pick up. Mid- week, we started to see better sentiment in the market, more US grain cargoes started to fill the market for September and stimulated owners to increase their rates from approximately US$41.5/Mt up to US$43-44/Mt. This could tempt owners to switch their focus away from transat-lantic onto front haul voyag-es. We have seen more DOP fixing in the East this week, although there is not enough
volume to exclude the APS market. The East Coast South Australia market also firmed towards the week-end.
Both Handymax and Supramax markets continued to move upwards last week with gains across the board. Although rates in the Pacific finished higher at the close of the week, rates are still on the low side, with a lot of tonnage available in the South East Asia region. Activity in the Atlantic contin-ued to increase, and is ex-pected to continue with the US Gulf market on the rise and the coming grain season in the Black Sea upon us. With the winding down of summer holi-days we expect to see contin-ued improvement in both ba-sins.