The dry bulk market experienced a softer tone across Capesize, Panamax, and Supramax segments this week, with declining enquiry levels, increasing spot tonnage, and cautious chartering activity. While some regions showed brief resistance, overall sentiment remained weak heading into the holiday period, with expectations of potential stabilization or rebound early next year.
Capesize: Activity Slows with Abundant Tonnage Pressuring Rates
Capesize activity on major routes eased as the week progressed. On the C5 Australia–China route, enquiry from miners and operators slowed by midweek, reflecting reduced Pacific activity. Cargo volumes out of East Australia remained low, contributing to softer sentiment.
On the C3 Brazil and West Africa routes, focus shifted toward early to mid-January loadings. However, increasing ballast tonnage for the first half of January added further downward pressure. Spot availability in the Far East also rose, pushing fixtures to conclude below USD 11 pmt. C3 routes settled in the mid-to-high USD 22 pmt range.
Panamax and Supramax: Atlantic Holds Better, Pacific Under Pressure
The Panamax market softened overall, though the Atlantic continued to perform slightly better than other regions. The North Atlantic saw support from tight prompt supply and potential Cape splits, while the South Atlantic remained thin and charterer-driven. In the Pacific, a growing list of prompt tonnage and cautious chartering pushed rates downward, with owners seeking longer coverage ahead of the holidays.
The Supramax sector also reflected mixed but generally softer conditions. The U.S. Gulf saw some resistance, while the South Atlantic softened on weaker sentiment and increased open tonnage. Asian markets faced continued downward pressure, with limited fresh enquiry and a balanced but slow Indian Ocean. Handysize conditions remained quiet, with slight softening in the Atlantic and steady yet mildly pressured markets in Asia.
Across all dry bulk segments, the market is entering a softer phase as year-end approaches, driven by reduced enquiry, increasing vessel availability, and cautious charterer activity. While short-term sentiment remains weak, underlying indicators suggest potential improvement as trade flows normalize and demand strengthens into January. For now, owners and charterers alike are navigating a quieter, more pressure-driven market environment.
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Source: Fearnleys
