Weekly detailed analysis of world shipping freight markets for all major routes for August 26 – September 2, 2024.
Capesize (Atlantic and Pacific)
Strong improvements maintaining the robust momentum with steady activity in both Atlantic and Pacific, a healthy number of cargoes and a lively presence of miners, owners and operators. Iron ore futures continued to rise, boosted by China’s improving demand from steelmakers in view of the upcoming demand season. In Pacific, Rio Tinto fixed four TBN vessels to load its cargoes of 170,000mt +/- 10% iron ore from Dampier to Qingdao, three with laydays 16/18 September, at freight rates of $11.40, $11.35 and $11.25/mt and the fourth TBN vessel with laydays 12/14 September at $11.65/mt. BHP fixed the MV Amorito (179,322 dwt | 2012 built) to lift its cargo of 160,000mt +/- 10% iron ore from Port Hedland to Qingdao, laydays 17/19 September at $11.50/mt. FMG fixed a TBN vessel to load a cargo of 160,000mt +/- 10% iron ore from Port Hedland to Qingdao, laydays 16/17 September at $11.50/mt. Cosco fixed the MV Bulk Harvest (175,617 dwt | 2012 built) to load a cargo of 170,000mt +/- 10% iron ore from West Australia to China, laydays 15 September onwards at $11.30/mt. Vale fixed a TBN vessel to load its cargo of 170,000mt +/- 10% iron ore from TRMT to Qingdao, laydays 9/11 September at $9.00/mt. In the Atlantic basin, Element fixed the MV KSL Seoul (181,010 dwt | 2015 built) to load a cargo of 170,000mt +/- 10% iron ore from Tubarão option West Africa to Qingdao, laydays 13 September onwards at $26.60/mt and also the MV Nicolemy (179,910 dwt | 2014 built) to load a cargo of 170,000mt +/- 10% iron ore from Tubarão to Qingdao, laydays 20/30 September at $27.50/mt. Five Ocean fixed the MV Star Marianne (178,906 dwt | 2010 built) to lift a stem of 170,000mt +/- 10% iron ore from Tubarão to Qingdao, laydays 26 September onwards at a freight rate of $27.25/mt. Mercuria fixed the MV Pan Advance (179,185 dwt | 2009 built) to lift a cargo of 170,000mt +/- 10% iron ore from Tubarão opt West Africa to Qingdao, laydays 22/30 September at $27.00/mt. Glencore fixed the MV Cape Friendship (185,879 dwt | 2005 built) to load a cargo of 170,000mt +/- 10% iron ore from Seven Islands to Qingdao, laydays 18/24 September at $31.75/mt. Cargill Metals fixed an Oldendorff TBN vessel to load a cargo of 170,000mt +/- 10% iron ore from Pointe Noire to Qingdao, laydays 21/30 September at $32.75/mt. An Oldendorff TBN vessel was awarded the Erdemir tender for 150,000mt +/- 10% iron ore from Narvik to Erdemir, laydays 13/22 September at $10.25/mt. Out of South Africa, Ore and Metal fixed a TBN vessel to load a cargo of 170,000mt +/- 10% iron ore from Saldanha Bay to Qingdao, laydays 18/22 September at $19.85/mt. Orissa Metaliks fixed a TBN to lift 150,000mt +/- 10% coal from Richards Bay to Dhamra, laydays 15- 24 September at $11.40/mt, free of port charges at discharge port.
Panamax (Atlantic and Pacific)
Another negative week for the Panamax Atlantic Market with rates continuing to decrease across both Northern and Southern basins due to limited cargo supply and increasing tonnage count. With FFAs being pretty much negative throughout the whole week and decreasing bunker prices, P1A_82 closed the week with a negative delta of about $1,500/d wo-w basis and P2A_82 lost $1,400/d. For instance, a 2010 built Kamsarmax was reported fixed at $15,500/d +$150,000 gbb for 1 tct via USG and redely Skaw/Gib. P6 was not very active as well, multiple spot vessels were starting to line up and to wait few days in order to secure a cargo, thus discounting rates further on. The route closed the week at $13,000/d with grain houses aiming well lower in the $12,000s/d for SH September and Fh October cargoes. Most of the recorded fixtures were done on aps basis with $15,500/d + $500k gbb being the benchmark.
Australia RV to China was fixed around low-teens with an 82,000 dwt 2015 built with dely CJK 26 August placed on subjects for an Australian round trip at $12,500/d and an 81,150 dwt 2012 built with dely Yosu 2 September via Australia redelivery South China at $10,000/d. India direction was paying way less and an 82,000 dwt with delivery CJK prompt was fixed for a trip via Australia redelivery India at $9,750/d. NoPac was not higher with a 77,850 dwt 2015 built with dely Zhoushan 28 August on subjects for a trip via NoPac redelivery Spore/Japan at $10,500/d. An 82,000 dwt 2020 built with dely Onahama 3/7 September was placed on subjects for a trip via NoPac redelivery Singapore/Japan at $13,250/d.
Handy (Far East/Pacific)
Compared to last week the market remained pretty much unchanged. A 52,000 dwt with dely Indonesia was reported at $16,500/d for a trip to China, a 61,000 dwt with dely S China was done at $14,000/d for a trip via Indonesia to Thailand and a 58,000 dwt with dely Thailand took $12,000/d for a trip via Indo back to Thailand. A 57,000 dwt with dley Philippines was fixed at $17,000/d for a trip via Indo to ECI and a 58,000 dwt with dely Spore was done at $14,000/d for 2/3 laden legs.
Handy (North Europe/Black Sea/Mediterranean)
Another week of slowly improving activity. A nice 35,000 dwt open Rotterdam 1st Sep was fixed for a trip to W Africa around mid-teens dop, a 33,000 dwt spot Kaliningrad was fixed dop for a trip with redely Cont at $11,000/d, a 37,000 dwt open Rotterdam end of Aug was rumored trading for a trip to Atlantic Morocco at $13,000/d basis dely aps Lithuania, while another similar unit was fixed for a trip with grains via St. Lawrence with redelivery W Africa at $18,500/d aps. In general rates have been increasing and, with everyone back in the office the trend is expected to be maintained at least in the near future.
Rates did not change significantly: very low level of activity kept the market stagnant, fresh spot cargoes were fixed almost immediately at charterers' targets. This seemed rather reasonable most of the times due to the difficulties encountered in carrying out the purchase and the sale of the commodity. On Handysize CrossMed trips were still fixed around $7,500/8,000/d, the trip to Cont, a market which was stronger than Mediterranean, was fixed at slightly lower levels since owners prefer to leave the Med area behind. The Supramaxes were still at $9,500/d level. For TA trips Supramaxes recorded a little increase and were fixed at $10,000/d towards USG and $8,000/d towards S America. Handies were seeing number around $7/7,500/d for trips to ECSAm and $10,000/d to USG, the same as last week. Fronthaul for Supramaxes slowed to $19,000/d and Handies were assessed around $14,000/d.
Handy (USA/N.Atlantic/Lakes/S.America)
A quite week with poor sentiment in the Atlantic. Rates in USG slightly increased with slightly lower tonnage availability. The grains trade to Spore/Japan was covered at $29,000/d on an Ultramax. The TransAtlantic trade followed the same trend and rates raised to $23,000/d for coal on a Ultramax run from USG to E Med, the same rate agreed from USG to Italy with Petcoke. An Ultramax was fixed at $18,000/d for 1 year TC from USG. Handysize recorded $16,500/d for a trip from USG to Cont with grains and $22,000/d for a trip from USG to US WC with grains.
Rates decreased slightly compared to the previous week. For TransAtlantic routes ex ECSAm a nice 38,000 dwt index type was fixed at $16,900/d basis redely Cont/Med with duration 35 days wog. Little activity was officially reported on bigger sizes anyhow a Tess58 was agreed around $ 19,500/d basis dely dop W Africa for a tct via ECSAm to Spore/Jpn range; Cont/Med destinations with same dely were assessed around $11,000/d.
Handy (Indian Ocean/South Africa)
Rates slowed progressively through the week. A trip to SE Asia on a 61,000 dwt was fixed at $17,500/d basis dely aps load port in MEG. A trip to F East with salt was fixed at $17,000/d basis dely aps load port in WCI on a 63,000 dwt. A similar trip on a 56,000 dwt was fixed only at $14,000/d early in the week and as the week progressed, with cyclone and flood in WCI, the cargo movement slowed. Rates also came off from ECI with a 63,000 dwt open Bangladesh achieving around $12,000/d dop for a trip to F East with iron ore, this was some $2,000/d lower than the previous week. A 57,000 dwt achieved around $9,500/d for a similar trip with iron ore. Rates also came off from S Africa and a 63,000 dwt was fixed aps E Africa at $18,500/d + 185,000 gbb with coal to WCI/Pakistan range. A 56,000 dwt loading aps Saldanha Bay for a trip to F East got the same rate. A 63,000 dwt achieved $22,000/d + 220,000 gbb basis dely aps Port Elizabeth for a trip to China with ore early in the week. As the week progressed, a 63,000 dwt agreed $21,250/d + 212,500 gbb for a similar trip. Towards the end of the week another 63,000 dwt got only $19,000/d + 190,000 gbb.
Banchero Costa and Co Spa
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