Baltic Exchange Dry Index (BDI) curve 18 March - 22 March
Capesize The big ships endured heavy losses last week extinguishing any hopes from the recent minor rally. Negative sentiment gained pace throughout the week, Cyclone Veronica developed in North-Western Australia prompting Port Hedland and Dampier to issue port closure notices, expected to last in-excess of 48 hours. Miners were largely absent through the latter part of the week, as route C5 traded sharply down to $5.00. Mid-week saw a short-lived bump in freight on South Africa/Qingdao tender cargo as the slim ballaster fleet showed signs of pressure points, with many reluctant to head west. The Atlantic basin, bereft of cargo, weakened in value throughout the week, as ballasters competed for business from Brazil and Colombia to the Continent. Vale announced the return of operations at the Brucutu mine in the next 72 hours. Physical spot rates continued to decline, although forward rates saw a bump in value across the curve to close out the week.
Baltic Exchange Capesize Index (BCI) curve 18 March - 22 March
Panamax There was a solid improvement in the Atlantic market this week driven mainly by activity for first half April from East Coast South America. With a shortening tonnage list, charterers have been forced to take tonnage from the Continent/Mediterranean to cover early stems, with rumours of a modern Kamsarmax fixing on subjects at $16,000 basis Gibraltar delivery, and multiple ships agreeing $15,250 plus $525,000 ballast bonus on an Arrival Pilot Station (APS) basis. Transatlantic trades also reaped the benefit, with the index rising more than the front haul rates. Ships were fixing close to $18,000 APS South America for redelivery Atlantic, where the previous week saw $11,500 concluded on similar business. The Pacific, in contrast, was flat at best, with a lack of Australian mineral cargoes splitting the market and making it very positional. Vessels open in the south had more options, with Indonesia remaining busy plus ballasting to South America an option. In the north, an active North Pacific market was insufficient to maintain rates, especially for tonnage open North China.
Baltic Exchange Panamax Index (BPI) curve 18 March - 22 March
Supramax The Baltic Supramax Index (BSI) gained ground during the week, with improved rates seen from key areas. There was limited period activity, but a 60,600dwt ship open Damman was rumoured fixed for a short period at $12,750. The Atlantic had a mixed week, with little fresh enquiry from the East Mediterranean. From the US Gulf, congestion and high water saw vessels with reliable positions achieving good levels; a 56,000dwt vessel fixed for a trip to the East Mediterranean at $15,000. Increased activity from East Coast South America was evident, where a 55,000-tonner was booked to the West Mediterranean at $17,500. A 66,300dwt ship fixed for a trip to the Arabian Gulf at $14,400 plus $440,000 ballast bonus. Rates from Asia improved as a 56,800-tonner agreed delivery China to the Arabian Gulf, the trip was agreed at $8,150 for 45 days and $10,500 thereafter.
Baltic Exchange Supramax Index (BSI) curve 18 March - 22 March
Handysize It was a positive week for the Handysize market. East Coast South America saw strong demand, with very few prompt ships. As the week closed out, brokers suggested that cargoes were still to be covered. A coastal trip along East Coast South America paid in the $12,000s on a 34,000-tonner. On the period front, a similar-sized vessel was paid $10,750 for four to six months from Recalada, with redelivery in the Atlantic. From the US Gulf, a 36,000dwt vessel agreed $9,400 basis South West Passage for about three to five months, redelivery also within the Atlantic, and a single trip from the area was concluded at $9,000 with grains to East Coast Mexico. Otherwise, $6,000 reportedly fixed on small Handysize vessel from Skaw to East Coast South America and $5,000 for inter-Mediterranean trips. In the East, a 33,000dwt ship and a 28,000dwt ship, both open in the Philippines, were booked for a run via West Australia at $7,500 redelivery in the Far East and $7,100 redelivery West Coast India respectively. A coal trip from Indonesia paid $9,500 on a 39,000-tonner basis delivery Kuantan to China.
Baltic Exchange Handysize Index (BHSI) curve 18 March - 22 March
Tanker market report VLCC
It was another slow week, with rates under pressure slipping below WS 60 as 270,000mt fixed to China at WS 59 and Taiwan at WS 57.5 for 265,000mt cargo. Going west, rates for 280,000mt to the US Gulf fell 4.75 points, as Valero took BP tonnage at WS 23.5 Cape/Cape. In West Africa, rates for 260,000mt were assessed 1.5 points lower at WS 55, with potential to soften further. Occidental fixed US Gulf to Singapore at $5.2 million. Vitol covered Hound Point to South Korea at $5.5 million, down $250,000.
Baltic Exchange Dirty Tanker Index (BDTI) curve 18 March - 22 March
Suezmax West Africa rates for 130,000mt to Europe dipped from WS 55 to high WS 40s, with US Gulf discharge fixed at WS 42.5. Black Sea/Mediterranean rates for 135,000mt hovered in the high WS 60s, after WS 72.5 was agreed earlier, but for UKC-Med. South Korea was done at $2.75 million.
Baltic Exchange Clean Tanker Index (BCTI) curve 18 March - 22 March
Aframax In the Mediterranean it was a volatile week. Sidi Kerir/Med fixed at WS 80 for 80,000mt, with Ceyhan at WS 85. Subsequently enquiry improved, seeing rates firm to WS 97.5. Black Sea dipped to high WS 80s, before recovering to WS 102.5. In the Baltic, some ice restrictions were lifted, and the market fell more than 30 points to WS 80. The 80,000mt cross-North Sea market dropped 20 points to low-mid WS 90s. The 70,000mt Caribs up-coast run eased 10 points to WS 90, before recovering to the mid WS 90s.
Clean
Rates for 75,000mt Middle East Gulf/Japan nudged up 2.5 points to WS 100, with the 55,000mt trade regaining 2.5 points to WS 115. Continent/USAC 37,000mt trade gained 2.5 points to WS 167.5, while 38,000mt from the US Gulf to UKC rose more than 20 points to the high WS 90s.
