The LR2 and VLCC markets faced significant declines, while LR1 and MR segments remained stable or slightly improved. Suezmax saw gains, but Aframax and Handymax experienced downward pressure, reports Baltic Exchange.
LR2
MEG LR2’s once again were subject to downward pressure this week. The TC1 rate for 75Kt MEG/Japan dropped another 14.17 points to WS115.83 while the 90kt MEG/UK-Continent TC20 voyage also dipped by $100,000 to $3,984,560.
West of Suez, the Mediterranean/East LR2’s were somewhat muted. The TC15 index came down circa 10% to $2,943,532, a Baltic TCE of just $5,839/day round trip via Suez.
LR1
In the MEG, LR1’s did not feel the pressure like their larger siblings this week. The 55kt MEG/Japan index of TC5 remained unchanged at WS138.75 from end of last week. The 65kt MEG/UK-Continent of TC8 managed to climb $148,850 to $3,277,300.
On the UK-Continent, a 60Kt ARA/West Africa run on TC16 also remained flat around the WS127.5 – WS130 level.
MR
For another week the MR’s in the MEG remained on their current path. The TC17 35kt MEG/East Africa reflected this by staying at the WS205 level (showing a daily TCE of about $17,710/day round trip)
On the UK-Continent, MR’s regained some confidence this week, with reports of available tonnage a little thinner. The 37kt ARA/US-Atlantic coast of TC2 hopped up 15.69 points to WS135.74, which gives a Baltic round trip TCE of $11,956/day and the TC19 run (37kt ARA/West Africa) came up 15.32 points to WS155.62.
Across the Atlantic, the MR’s began to come off a tick this week. TC14 (38kt US-Gulf/UK-Continent) lost 12.5 points to WS154.29 (about $16,000/day basis a round trip TCE). The 38kt US Gulf/Brazil on TC18 went from WS232.5 to WS204.2, erasing last week’s improvement, (a daily round trip TCE of $34,808) and the 38kt US-Gulf/Caribbean of TC21 closed 20% lower than last week at $639,286.
Handymax
In the Mediterranean, 30kt Cross Mediterranean (TC6) took a heavy downward blow to the tune of 57.55 points this week to close at WS151.78. In northwest Europe, the TC23 30kt Cross UK-Continent added 21.34 points to its value taking it to WS155.61 with higher levels reported on subjects at time of writing.
VLCC
The VLCC market softened again across this week. This was seen in the MEG by the TD3C benchmark of 270,000 mt Middle East Gulf to China falling through the WS50 mark by 7.65 points where it is currently assessed at WS44.7. This level generates a daily round-trip TCE of $20,733 basis the Baltic Exchange’s vessel specification.
In the Atlantic, the Baltic routes were also subject to downward pressure. The 260,000mt West Africa to China came off by 7.5 points to WS49.72 showing a round voyage TCE of $26,651/day. The rate for 270,000mt US Gulf to China shed $250,000 of its value from this time last week. It is currently pegged at $7,300,000 corresponding to a round-trip daily TCE of $31,856.
Suezmax
The Suezmax market in West Africa continued its positive movement up this week. The rate for 130,000mt Nigeria to UK Continent went from WS78.61 to WS82.36 (a daily round-trip TCE of $27,699). In the Mediterranean and Black Sea area the rate for 135,000mt CPC/Mediterranean TD6 route held resolute around the WS87.5 level for the (showing a daily TCE of about $23,299 round-trip). In the Middle East Gulf, the mark for 140,000mt Middle East Gulf to the Mediterranean (via the Suez Canal) closed 2.06 points higher that this time last week at WS93.28.
Aframax
In the North Sea, the rate for the 80,000mt Cross-UK Continent continued along its current WS120 trajectory (a daily round-trip TCE of $24,448 basis Hound Point to Wilhelmshaven).
In the Mediterranean market, the rate for 80,000mt Cross-Mediterranean dropped consistently across the week by nine points to WS113.5 (based on Ceyhan to Lavera gives a Baltic TCE of $21,435 daily round trip).
Over in the US Gulf region, rates also dipped this week. For the 70,000mt East Coast Mexico/US Gulf (TD26) the assessment was 10.93 points lighter that last week at WS101.88 (a daily TCE of $11,786 round trip) and the rate for 70,000mt Covenas/US Gulf (TD9) was 10.32 points down on last Friday’s rate at WS100.31 (a round-trip TCE of $11,602/day). The rate for the cross-Atlantic route of 70,000mt US Gulf/UK Continent (TD25) dropped by 2.64 points to WS133.36 (a round trip TCE of $26,445/day basis Houston/Rotterdam).
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Source: Baltic Exchange
