Fearnleys Weekly - Dry bulk

Chartering - Supramax

Less activity in the Atlantic in start of the week with the US holidays. Ows asking levels around low USD 20k for trip ex USG to Feast, while ECSA fronthauls has been fixed around USD 13500+350k bb. The Cont and Baltic has been slow with few orders for a while and the usual scrap runs to E.Med pays ows around USD 10k. The last month before rain season comes to Philippines and the nickel ore market is becoming even hotter, an Ultra open S.China fixed USD 14k and another open Lanshan fixed USD 12.6k. The highest rate level seen the last two years. Coal biz follows same trend, with charterers taking vessels from CJK for Indo coal. A Supra fixed 9k dop CJK to Thailand and a 53k open S.China fixed USD 9750 for Indo rv.

Chartering - Panamax

It has been an active week. After a period with decreasing rates and low activity, the sentiment has changed substantially and the market is firmer in both hemispheres. Less tonnage and more cargoes in the north Atlantic has pushed the rates upwards and the TA market is priced at 10k’s right now, while FH are being fixed in the 18 to 20k’s depending on duration. The activity out of the US Gulf and South America has been a key feature to keep the momentum. More activity in the Pacific has pushed the rates for a transpacific RV to mid 10k’s, while trips from Singapore via ECSA with redel FE being fixed at around 13k’s. FFA's, Sep is priced at mid 11k’s, while Oct is priced at high 12k’s on the P4TC index.

Chartering - Capesize

Earnings for the big ships keep up nicely as dips are moderate and short-lived. Coal and iron ore volumes from main areas Australia, South Africa and Brazil all appear robust, which combined with a modest presence of prompt units give close to market equilibrium and reason for continued short-term improvements. Average daily income up some 8 pct w-o-w, coming in at close to USD 18,500. FFA values still do not support for long period, with levels presently in backwardation territory. Activity/focus is thus for shorter deals - exemplified by 178,000 dwt/built 2017 open China mid Sept done for 4-6 months at USD 17,700, also 208,000 dwt/built 2011 open China prompt fetching USD 20,000 basis 2-6 months from majors.

Activity level

Capesize Panamax Supramax
Active Increasing Firm

Rates

CAPESIZE (usd/day, usd/tonne) This week Last week Low 2017 High 2017
TCT Cont/Far East (180' dwt) 31,000.00 29,000.00 12,000.00 35,000.00
Tubarao / R.dam (Iron ore) 7.00 7.60 4.00 8.25
Richards Bay/R.dam 7.00 7.20 4.00 7.60
PANAMAX (usd/day, usd/tonne)
Transatlantic RV 10,000.00 9,100.00 5,600.00 14,800.00
TCT Cont / F. East 18,000.00 16,500.00 11,600.00 21,000.00
TCT F. East / Cont 3,800.00 3,500.00 2,500.00 8,600.00
TCT F. East RV 10,500.00 9,200.00 2,500.00 12,000.00
Murmansk b.13-ARA 15/25,000 sc 7.10 6.75 5.00 7.45
SUPRAMAX (usd/day)
Atlantic RV 9,600.00 9,500.00 8,250.00 12,000.00
Pacific RV 9,900.00 9,500.00 3,900.00 9,900.00
TCT Cont / F. East 17,000.00 15,500.00 12,000.00 18,000.00
1 YEAR T/C (usd/day)
Capesize 180,000 dwt 15,500.00 14,750.00 10,250.00 16,500.00
Capesize 170,000 dwt 14,000.00 13,250.00 8,650.00 14,500.00
Panamax 75,000 dwt 11,500.00 9,800.00 7,250.00 12,400.00
Supramax 53,000 dwt 9,600.00 9,300.00 6,600.00 9,600.00
Baltic Dry Index (BDI): 1250 previous week: 1181

Sales and purchases

Vessel Size Built Buyer Price Comm.
True Frontier 179 147 2010 H Line Shipping 29,75
Haris Athina 74 786 2001 Chinese 7,50
Star Jing 62 562 2013 Raffles Ship Management 14,80
Star Vivian 63 548 2013 14,80
CMB Coralie 53 463 2009 Undisclosed 9,30
Avocet 53 462 2010 South East xs 10
Lucky Best 45 675 1996 Chinese 3,70
Aristo River 33 532 2005 Greek high 7's
Jupiter Charm 32 449 2010 Greek 8,10
Brasschat 31 800 2009 AB Maritime 6,50
Zarechensk 31 800 2009 AB Maritime 6,50
Glory Marugame 28 343 2008 Starmarine 7,80