Fearnleys Weekly - Dry bulk

Chartering - Supramax

Atl market was quiet with holidays in Russia and festivities in Hamburg. Plenty of tonnage within Cont but few cargoes. Supra from Baltic to EMED was fixed around 14k/day. Scrap from Cont to Med went around 15.5k/day. USG was only exception where rates were picking up - fronthaul was being fixed at 21k with grains. SE Asia market had less activity too and moved further southern which touched sub USD 11k from Spore, around USD mid 9k from S.China. Many of already being performed Indo/S.China coal shipment had been rejected by port authority in S.China due to strengthen China gov quota and head Chrts are looking at N.China to alternatively sell the coal on board. No sign of recovery in the market is yet there.

Chartering - Panamax

It has been a week with firm rates in the Atlantic region, while Pacific has continued the soft sentiment from last week with decreasing freight rates. Nevertheless, mid-week we saw a softer mood also in the Atl region with owners asking less money for their vessels on prompt dates. TA are at levels ard mid/high 12k’s while fronthauls are being fixed in the 18 to 19k’s, depending on duration. The sentiment in Asia remain soft with a transpacific RV priced at low 11k’s and the expectations going forward still being negative. The short-term outlook for the Pmax market remain mixed and the softer trend in the Atl region questions the direction of the market. FFA’s, Q1 18 is priced at ard 10k’s on the P4TC index.

Chartering - Capesize

Cape market started off flat and uninspiring, but mid-week it made a proper comeback. The main driver of the market have been the west Australia iron ore, where some spot requirements suddenly appeared. This pushed the market from mid USD 7 pmt close to mid USD 8 pmt in 24 hours. This just shows that the Cape market continue to stay volatile, to big excitement for the market players. Brazil to China have not been too active, but continue to be around a healthy USD 18 pmt. Pacific tc market is hovering around the USD 20k mark, and 1-year period is in the USD 15k level. The market keep showing resistance and ability to bounce back every time it is dropping. This show that there is strong fundamentals and support.

Activity level

Capesize Kamsarmax Ultramax
Active Weakening Slower

Rates

CAPESIZE (usd/day, usd/tonne) This week Last week Low 2017 High 2017
TCT Cont/Far East (180' dwt) 34,000.00 33,000.00 12,000.00 35,000.00
Tubarao / R.dam (Iron ore) 10.85 10.40 4.00 10.85
Richards Bay/R.dam 10.00 9.60 4.00 10.00
PANAMAX (usd/day, usd/tonne)
Transatlantic RV 12,750.00 11,500.00 5,600.00 14,800.00
TCT Cont / F. East 18,500.00 18,500.00 11,600.00 21,000.00
TCT F. East / Cont 5,750.00 6,100.00 2,500.00 8,600.00
TCT F. East RV 11,000.00 12,000.00 2,500.00 14,000.00
Murmansk b.13-ARA 15/25,000 sc 8.20 7.65 5.00 8.20
SUPRAMAX (usd/day)
Atlantic RV 13,000.00 12,000.00 8,250.00 13,000.00
Pacific RV 10,000.00 11,000.00 3,900.00 11,000.00
TCT Cont / F. East 18,000.00 19,000.00 12,000.00 20,000.00
1 YEAR T/C (usd/day)
Capesize 180,000 dwt 16,000.00 16,000.00 10,250.00 17,000.00
Capesize 170,000 dwt 15,000.00 15,000.00 8,650.00 15,500.00
Panamax 75,000 dwt 11,250.00 11,500.00 7,250.00 12,400.00
Supramax 53,000 dwt 10,650.00 10,650.00 6,600.00 10,750.00
Baltic Dry Index (BDI): 1486 previous week: 1496

Sales and purchases

Vessel Size Built Buyer Price Comm.
Nord Venture 82 211 2009 Undisclosed 18,10
Jiangsu Newyangzi Resale 81 800 2018 Scorpio Bulkers 25,00
Spring Eagle 58 096 2010 Thoresen Thai 15,40
New Era 53 125 2003 Akij Group 9,70
Hai Kuo 49 400 2004 Chinese 8,40 Auction sale
Glory Mercy 37 302 2010 Undisclosed 9,50
Orient Acrux 32 702 2013 Undisclosed 13,30
Kittiwake 32 555 2007 Greek 8,90
King Yukon 32 258 2009 European 10,50
Olympia IV 32 029 2008 Turkish 9,10
Clipper Ichiban 28 319 2009 Greek 8,50
Vinalines Star 26 456 1993 Nhat Viet Transportation Undisclosed