Fearnleys Dry Bulk Market Report

Capesize Cape market remains flat and uninspired. It has been very little volatility this year, and the small changes that appears is mostly driven by the volatile bunker prices. West Australia market dipped again below USD 3 pmt mark this week. The timecharter rate for Pacific rounds is still around the low USD 2000 per day. Brazil to China market is in the mid/high USD 5 pmt level. There is still interest from owners to fix out their tonnage for period as it does pay a big premium to present spot market. Q1 is seasonally the weakest period of the year, but there is limited belief that the market will improve significantly when we do enter Q2. Panamax The small upswing and positive breeze after Chinese New Year is evaporating. Both hemispheres is in a mixed and uninspiring condition with some optimistic souls still looking for a seasonal upturn. The Atlantic is suffering with lack of fresh requirements, and Owners are crying at poor rates on voyage for TA and Fhaul. A Baltic round at 2750 show the TC return is well above voyage levels. Fhaul is hovering in the 6k range with USG/FEast just >20 pmt and falling. ECSA, which should be growing seasonal, has left the 6500+15 level and is hovering at abt 13 pmt. Aussie rounds done at 2800 from S.China, NOPAC at 3750 but all under pressure. Period interest is limited with 1-year done at uninspiring 4500 on LME. Supramax Fresh inquiries continued to surface this week, although activity not as strong as last week. Rates in both hemispheres have been increasing. Good candidates getting around 4k in the Pacific and rates now above 4k for the Indonesia/India coal run. Aussie RV is fetching mid 3k for vessel del SE Asia. The Atlantic is less active with Continent RV getting around 3k levels. Period trading at a good premium to spot market with late rumours of a new built Ultramax getting around 5k for about one year trading. Nice vessels getting 7k+70bb for ECSA run to Singapore/Japan.