Fearnleys summarizes weekly bulk report for week 20 of 2024.
Capesize
On the C5 front, we see a reasonable volume of enquiries from miners and operators primarily for first half of June dates. Some operators were seen seeking tonnage for second half of June dates as well.
There is a continuous steady inflow of volumes on East Australia coal and some enquiries out of other Pacific business with first half of June and end May to mid June dates respectively. Volumes out of South Africa have ticked up with enquiries from operators and tender as well for early June dates. On C3 ex Brazil to China, we see enquiries from operators for full June dates. Far East spot tonnage is moderate while ballasting tonnage weighs heavily on first half of June dates with some drifters for end May dates. On C5, we see fixtures concluding at low USD 11 pmt levels at the start of the week and retreating to mid USD 10 pmt levels by mid-week. On C3, we see fixtures concluding at mid USD 25 to low USD 26 pmt levels for June dates.
Panamax
This week, the Panamax market experienced a significant decline, with both Atlantic and Asian basins showing weaknesses. In the Atlantic, the market remained predominantly focused on front-haul routes, but a lack of trans-Atlantic demand led to a build-up of tonnage, exerting downward pressure on rates. Despite some demand for mineral cargoes in the Asia-Pacific region, overall market sentiment was weak, and freight rates were volatile. Furthermore, a drop in coal shipments and fluctuating demand added to the market’s instability. These challenges highlight ongoing issues in balancing supply and demand across both basins.
Supramax
This week has started off slow with very little to report. As the monsoon season draws closer, we see less cargo coming out of WC India. Salt cargo driving the market with most vessels being employed for WC India-Far East salt runs. However, with the tight tonnage count, we see owners asking well above last done levels. With the weather delays in Chittagong adding to the woes, we expect an upswing in MEG-India market in the short term horizon.
On the other hand, the ECSA market is very active with spot as well as forward cargoes as the sugar season has started. Good balance with tonnage availability as well. Meantime on the period side, there is still a lot of demand with owners reportedly asking USD 18-19,000 levels for Ultramax opening WCI.
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Source: Fearnpulse
