Fearnleys Dry Bulk Market Report

Capesize The Cape market have continued its positive trend from the past few weeks. Freight rates have found support and keeps firm, mainly due to a healthy volume of cargoes out of west coast Australia, supported by stronger than expected iron ore prices. East coast Australia coal cargoes have also made a reappearance and helped support the Far East freight levels. West Aussie to China freight rates have stabilized in the low/mid USD 4 pmt level. The Atlantic market have limited activity, but rated to remain stable, with Brazil/China freight rates at low USD 8 pmt level. In general, it is a slightly more positive atmosphere out there and the expectations are carefully optimistic. Panamax It has been a slow start to the week and we see rates sliding in both hemispheres. TA's are now paying ard 5k depending on trade and duration while we do see some more Fhauls in the market with grains and fertilizer paying ard 9500 with a grainclean premium prized in. In the Pacific we see the same tendency as for the smaller Supramaxes. Less cargo into WCI since now entering the monsoon season and regular NoPac rounds paying low 5k. The period market is also slow but some short period fixtures for Kmaxes has been reported in the low 5k region. Supramax It was a quiet start to the week with holidayus in the UK and USA. May ended with no major change in either hemispheres. There are rumours in the market of more grain stems out of ECSA for 22nd half June which again can put pressure on the rates in the Atlantic. While the Pacific have seen less stems for WCI with the upcoming monsoon season it is still a good amount of Indonesian coal to China paying around mid 5k del Singapore for a good standard Smax. A bit more activity in the period market with larger good spec units now getting bids closer to 6k.