Fearnleys Dry Bulk Market Report

Capesize There is a steady supply of cargoes out of West Australia but despite of this, rates are getting softer. Present level is just above usd 4 pmt. Fixing activity out of Brazil is getting less, with more talks than real action. The level remains steady on this trade and the big question is when Vale will be done for this year. Atlantic in general is well balanced, with a time charter level for a transatlantic round close to USD 9000 daily. Panamax The segment is in a steady decline with reduced activity across the board. It has been an extremely quiet week for the Panamaxes in both hemispheres and rates keen on dropping to all time low levels. Transatlantic business is scarce with most rounds bss APS only in the 6000-7000 range with no BB. Voyage levels are under pressure, and USG fronthaul under 22 for spot and 19 forward. ECSA business not a safe heaven for ballasters, with APS levels in the 6 + 150 GBB range. Far Eat is in the dark doldrums with levels APS 3 + 30 for Indo rounds and 4 + 125 for NOPAC. The forward curve is flat and in the mid 5's for Cal -16, and owners are willing to fix at even less for about 1 year. Handy Another lacklustre week for the Supra segment. The average rates keep falling to the tune of abt USD 100 per week. The period market remains thin, but there are some Ultramax owners willing to cover in the USD 6000's level for abt a year. There is some anticipation relating to the lifting of some export taxes in Argentina, but it is uncertain how big an effect this will have on the market. There have been some COA's concluded in the last week and owners are not asking for premiums going through 2016, indicating a definite lack of confidence for the upcoming year.