The dry bulk market delivered a mixed performance over the past week, with each segment reflecting distinct supply-demand dynamics.
Capesize rates showed modest signs of firming, especially in the Atlantic, while Panamax vessels remained steady on the back of healthy coal and grain demand.
In contrast, Supramax continued to face headwinds from oversupply and sluggish cargo activity, particularly in Asia. Here’s a closer look at how each segment fared.
Capesize: Steady Demand Faces Growing Tonnage
In the Pacific, although there is a growing pool of available ships, decent trading activity has kept the market balanced. Rio Tinto reportedly fixed C5 at USD 9.45 pmt for late June, signaling stable demand. Meanwhile, the South Atlantic remains thin on ballasters, and the North Atlantic is tightening as June progresses, prompting some optimism. On the Brazil-China C3 route, offers in the mid USD 21s pmt are emerging for late July, reflecting a cautious firming in sentiment.
Rates Snapshot:
-
Australia/China: $9.51 pmt (▼ $0.23)
-
Pacific RV: $16,464/day (▲ $1,496)
-
TCE Cont/Far East: $38,125/day
Panamax: Balanced Fundamentals, Upbeat Sentiment
The Panamax market remained firm this week, buoyed by stable coal and mineral cargoes from Asia and the North Atlantic. Grain shipments from Brazil and the US added support, although overall commodity growth was flat. Tight tonnage in the North Atlantic and strong fronthaul activity kept rates steady or slightly up, while the South Atlantic remained stable. In the Pacific, solid coal flows from Australia and Indonesia and a widening bid/offer gap indicated growing owner confidence.
Rates Snapshot:
-
TCE Far East RV: $10,588/day (▲ $507)
-
Transatlantic RV: $11,836/day (▲ $472)
-
TCE Cont/Far East: $19,200/day
Supramax: Soft Conditions Persist Across Basins
The Supramax market experienced another flat week amid subdued demand and ample tonnage. Holiday slowdowns in Europe and Asia dampened activity. The Atlantic saw occasional fixtures, but market momentum remained weak. In Asia, limited cargo availability forced owners to reduce rates, and overall sentiment stayed soft. The period market was also quiet, reflecting uncertainty.
Rates Snapshot:
-
Transatlantic RV: $13,752/day (▲ $416)
-
US Gulf–China/Japan: $18,436/day (▲ $640)
-
S. China–Indonesia RV: $8,528/day (▼ $153)
As of now, the dry bulk market presents a fragmented outlook:
-
Capesize is supported by firming Atlantic sentiment and limited forward supply.
-
Panamax stands on solid fundamentals and owner optimism.
-
Supramax, however, continues to struggle under the weight of high availability and lackluster demand.
The Baltic Dry Index (BDI) stands at 1,738, reflecting a generally stable dry bulk freight market, with potential for moderate upward movement in selected vessel classes if demand continues to hold.
Did you subscribe to our daily Newsletter?
It’s Free Click here to Subscribe!
Source: Fearnleys
