Fearnleys Dry Bulk Market Report

Capesize The Pacific market remains quite well supported, with several operators competing with the miners for vessels. Also the relative Pacific time-charter rate has risen with vessels securing a healthier USD 8000 daily. The flip side is the Atlantic, which remains subdued due to the lack or iron ore cargos from Brazil to China, as well as trans-Atlantic coal. The time-charter equivalent for a trans-Atlantic coal cargo is about USD 3000 daily, or below, and needs a push on the demand side to improve. On period there is some activity with charterers showing about USD 9000 for 5-9 month periods. Panamax Despite some holidays early week and many players slightly sidelined at NorShipping in Oslo, activity is fair; the market has found a floor and even shown some signs of improvements. Chrtrs with ppt requirements or nomination due are forced to pay up on T/C in both hemispheres - close to 5000/day bss DOP, tick above the unexciting BPI YTD 4800. USG fronthaul activity is slow, but there is a positive breeze for June loaders in ECSA where Owners now are seeing well above 10k + 100k APS. 7250 + 220k is done bss passing COGH or 22.50 pmt Santos-China. Period activity is moderate, and 6100 has been concluded for 4-6 months on an LME and solid 7450 for a nice Kamsarmax bss 11-14 months. Handy It has been a stable week with few surprises rate-wise. Some more activity in the Atlantic and the TA rate is up around USD 100 from last week. It is still a good volume of ECSA grains destined for Far East and the Continent. Supras are able to achieve around USD 10-11k for trips to Europe. In the Pacific, we see Indo/India rounds being fixed in region of USD 7k while Indo/China rounds are fixing at around USD 6.5k. The period market is still fairly active and with good specs a Smax will achieve around 7.5k for 3/5 mos.