Baltic Exchange Shipping Insights, reveals a Business Times news source.
The capes started the week off at a relatively sluggish pace in both the Atlantic and Pacific regions. However, over the course of the week, there was a considerable uptick in the level of activity. We had all the three majors fixing this week from West Australia to China, but despite the healthy volume, rates began to slide and sentiment turned rather negative.
Owners generally were choosing to stay in the Pacific as opposed to ballasting. In the Atlantic there was a similar story, with limited enquiry early in the week resulting in the market drifting and ultimately coming under pressure.
Overall, the market has faced downward pressure, resulting in considerable corresponding adjustments in rates. The Capesize timecharter average lost 20% over the week to close at $13,956.
Another softer week for the Panamax market as owners felt the recent pressure continue across all basins. Owners’ resistance was hard to find with early tonnage and ballaster tonnage continuing to discount.
The P1A route hovered in the $8,000s all week, although this was being challenged with APS load port deals equating to a lot less by comparison. Activity ex EC South America was flat for index arrival dates, with earlier date arrivals heavily discounted by the armada of ballasters.
Asia returned good demand overall, but rates eased over the week with the tonnage count surpassing any demand. Rates of mid-high $8,000s were seen for various Australia round trips on inferior to index types, whilst much of the Indonesia demand was absorbed by smaller/older tonnage rates going for around the $5,000/low $5,000’s mark. Period activity was minimal, although reports emerged of an 81,000-dwt delivery China achieving $15,500 basis 5/7 months.
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Source: Business Times