Capesize market shows activity in Australia, Panamax remains weak but may rally, and Supramax is quiet with potential Q4 upswing driven by US grain season and Indian coal demand, reports fearnpulse.
Capesize
On the West Australia front, there was active participation from the likes of miners and operators primarily for first half of September dates. Some were seen seeking forward second half September dates. Volumes out of East Australia have improved since last with players enquiring for prompt dates to mid-late September dates. On C3 ex Brazil to China, we see interest for full September dates. Lesser activity was seen on West Africa. Far East spot tonnage tightening while ballasting tonnage is thinning for September with limited vessels still able to meet late August dates. On C5, we see an uptick in numbers with fixtures concluding at USD 11 to low USD 11 pmt levels by mid-week. On C3, we see fixtures concluding at low USD 25 pmt levels for mid September.
Panamax
This week, the Panamax market has been characterized by continued weakness and limited activity, with no fundamental changes observed in either basin. While the Atlantic basin saw long tonnage lists, the Pacific was more balanced, with some owners considering ballasting to ECSA rather than fixing Indonesian round voyages. Despite the current lull, there is potential for a market rally next month, driven by the imminent US grain season, increased coal demand from India, and higher corn shipments from Brazil. However, China’s coal import market remains quiet, with a possible rebound dependent on the steel sector’s recovery.
Supramax
Another quiet week in the market so far, at least on the surface. Seasonality indicates this week being the bottom for the geared market. With the upcoming grain season in USG, the markets in Atlantic will pick up. Over the past week, very little cargo enquiries ex ECSA and likewise, also in the Pacific. Chinese coal demand remains low. The usual South Africa-China/Japan trips on an Ultra are priced at USD 22,000 + BB. ECSA fronthauls on top of the shelf Ultra done at USD 23,000 levels. EC India-China trips are being fixed at USD 11,000 levels on Supra. Period market is not very active at the moment as everyone is waiting for a further ‘drop’ in the markets. Last reported on period side was an Ultra opening in Pacific last week covered at USD 17,000 levels for about 8/10 months period. Market sentiment remains flat with expectation of an upswing in Q4.
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Source: Fearnpulse
