The Capesize market recorded a notable improvement this week, with momentum building steadily across both basins.
Capesize
The Capesize market recorded a notable improvement this week, with momentum building steadily across both major basins following a slow start on Monday.
- Overall Performance: The BCI 5TC (Baltic Capesize Index, 5-route average) opened the week at $23,955 and climbed steadily to close at $27,709, indicating a strong week.
- Pacific Market: Sentiment recovered as strong miner demand pushed C5 rates (Western Australia/China) from the low $9s to above $10.50, before settling slightly around $10.35 by week’s end.
- Atlantic Market: The Atlantic firmed, with the C3 fixtures (Brazil/China) advancing from the low $22s to the mid–high $23s. The North Atlantic also gained traction, with transatlantic rates rising toward $30,000 amid tightening tonnage and increased demand.
Panamax
The Panamax sector experienced a mixed week with no clear direction, as regional pressures and demand varied.
- Atlantic Basin: The North Atlantic saw rates under pressure initially but consolidated towards the end of the week. The South Atlantic reported renewed decent demand for fronthaul business in the first half of December. A scrubber-fitted 81,000-dwt vessel was reported fixing a trip via EC South America at $19,000 (with the scrubber benefit going to Charterers).
- Asian Market: Sentiment was firm throughout the week, driven by increased volumes of coal requirements ex Australia and Indonesia, though demand from NoPac was lower. A well-described 84,000-dwt vessel achieved a strong $18,500 for a trip via EC Australia redelivery Japan. Ex-Indonesia index-type tonnage achieved varying rates from $17,000 to $19,500.
- Period Activity: Limited activity was reported, including an 82,000-dwt vessel fixing for 5/7 months trading at $17,500 delivery North China.
Ultramax/Supramax
The week was described as positional, with signs of renewed interest in the Atlantic contrasting with a lacklustre performance in Asia.
- Atlantic Market: The US Gulf and South Atlantic saw renewed interest and strengthening rates. A 62,000-dwt vessel was fixed from the South Atlantic for a trip to Chittagong at $17,000 plus a $700,000 ballast bonus. The Continent-Mediterranean region, by contrast, lacked fresh impetus, and rates struggled.
- Asian Market: Asia was patchy. Demand grew slowly in the south, with a 63,000-dwt vessel fixing delivery Gresik for a trip via Indonesia redelivery China in the upper $16,000s. Further north, a Nacks 64 vessel fixed a NoPac round from North China in the low $16,000s.
- Indian Ocean: Activity remained in the Indian Ocean, including a 57,000-dwt vessel fixing delivery South Africa for a trip to the Arabian Gulf at $18,000 plus a $180,000 ballast bonus, and a 63,000-dwt vessel fixing from the Arabian Gulf to WC India at $14,000.
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Source: Baltic Exchange
