Bulk report – Week 29
A mixed week for the Capesize sector, but it ended on a positive note. The timecharter average of the five routes rose above the $20,000 level and closed at $22,362 on Friday. Activity was largely seen from the Pacific, including coal from Indonesia and iron ore from West Australia to China. The latter maintained above $11 with a marginal improvement compared to the end of last week. Tonnage availability looked tight for ballast trades for first half of August. As the week finished, the Brazil market saw more second-half August enquiry and settled at $32.111 for iron ore from Tubarao to Qingdao. In the North Atlantic, fronthaul and transatlantic business appeared to be less active than recently, declining week-on-week to $30,278 and $47,083 respectively.
Something of a midweek push gave the Panamax market a much needed boost. However, the week did end on a somewhat subdued note as market players adopted a cautious approach. The north Atlantic began the week brightly with a glut of transatlantic deals concluded basis delivery APS load port in the low $30,000s. This equated for BKI types to circa $17/18,000 delivery this side, whilst East Coast South America saw better demand for second-half August arrival dates. An 82,000-dwt delivery Passing Muscat Outbound achieved just over $20,000 for a trip via EC South America redelivery Singapore-Japan midweek. Asia, for weeks, has been primarily Indonesia coal centric. But the market was marginally better supported this week by Australian coal, which was primarily destined for India. A 81,000-dwt giving delivery South China fixed at $19,000 for a trip via Indonesia to India. Period news included an 81,000-dwt delivery China achieving just shy of $20,000 for a five to eight month period.
Overall a slightly more positive week than of late. The Atlantic saw improved activity from the US Gulf region and also stronger demand from East Coast South America for August dates. A good amount of enquiry helped sentiment gain ground from South East Asia. However, there was ample supply of tonnage. On the period front, limited activity was seen. A 61,000-dwt was rumoured to have fixed a short period around $26,000. The Atlantic saw a 58,000-dwt fixing a US Gulf fronthaul redelivery Japan at $28,000 and a 52,000-dwt fixing from Mobile for a trip to East Coast South America in the low $27,000s. From Asia, A 52,000-dwt fixed delivery Singapore for a trip via Indonesia redelivery China at $24,000. For Australian business, a 58,000-dwt was heard fixed delivery Singapore via Australia redelivery Singapore-Japan at around $25,000. From the Indian Ocean, 63,000-dwt open East Coast India was heard to have fixed a trip to West Africa with bagged rice in the upper $20,000s.
A positive week in both basins despite limited visible activity. East Coast South America remained buoyant, with a 32,000-dwt fixing from Santos to Morocco at $27,000 and a 35,000-dwt rumoured to have fixed from South Brazil to Morocco at $29,000. A 37,000-dwt was fixed from Fairless Hills via North Brazil to Norway with alumina at $17,500. From the Mediterranean/Continent, a 32,000-dwt fixed from Safi to Chittagong with fertilizer at $19,000. Also, a 32,000-dwt fixed from Canakkale via the Black Sea to Algeria at $18,000. From Asia, it was a mixed bag. A 38,00-dwt was rumoured to have been covered for a trip from CJK via Australia to China at $20,500. A 37,000-dwt was also rumoured to have been placed on subjects for a trip delivery Singapore via Australia redelivery China at $22,500. Period activity remained sparse, but a 38,000-dwt open Santos was rumoured to have fixed for three to five months trading at $27,500.