Capesize

The Capesize market faced a challenging week characterised by significant fluctuations. The week began positively with a robust increase in the BCI 5TC, reaching $54,584, driven by active engagement in the Pacific. However, profit-taking in the FFA market late on Tuesday triggered unease, leading to a decline in rates. Throughout the week, the Cape market experienced a downward trend, with the BCI 5TC dropping to $34,854 by Thursday, reflecting a substantial decline. The Pacific market remained sluggish, marked by a persistent lack of major players on C5, contributing to a negative sentiment. South Brazil and West Africa to the Far East sustained pressure throughout the week as the bid-to-offer gap widened, compelling owners to pursue aggressively. Despite earlier optimism, the North Atlantic did not tighten as expected, with C8 and C9 experiencing significant drops towards the end of the week. As the week draws to a close, there has been an increase in Pacific activity, leading to a rise in rates on C5 by 50 cents to a $1.00. Additionally, in the Atlantic, from South Brazil to West Africa to the Far East, a stabilisation in rates has been observed, prompting a shift in sentiment. Overall, the Capesize market faced challenges, highlighting the volatility of the sector. The BCI 5TC rose $466 to finish the week at $35,320.

Panamax

It proved to be a tumultuous week in the Panamax market, with the stronger optimism seen last week carrying over to the early part of this week, although this dramatically eroded away with the week ending on a far weaker tone. In the Atlantic, short front-haul trips ex US East Coast to India contracted throughout, with $38,000, and $26,500 reported fixed on this run, albeit on two contrasting types, providing a good indicator of the market trend on all routes. Asia also saw further erosion in rates despite solid levels of demand in most loading origins, but the weaker sentiment emanating from the Atlantic basin impacted confidence here as well, with tonnage count slowly building. About $21,000 concluded early on an 82,000-dwt delivery China for a NoPac round trip, with deals for similar trips now concluding at closer to $18,500 as momentum switched back firmly in charterers favour.

Ultramax/Supramax

A rather patchy week after the recent strength in the sector as the week saw a change in direction. That said, it was described as positional. In the Atlantic, rates remained healthy with a good amount or fresh enquiry in the north, although South Atlantic demand slowed as the week ended. In Asia, similarly the recent positive sentiment wavered, brokers saying that enquiry levels had eased across the region. In the Indian Ocean, enquiry levels remained fairly healthy and the market was seen as finely balanced. Period activity was limited but a 63,000-dwt open Philippines fixed a short period at around $16,000. In the Atlantic, a 63,000-dwt was heard fixed in the mid $17,000s plus mid $700,000s ballast bonus basis delivery Santos for a fronthaul. Whilst a 56,000-dwt fixed a trip from Spain to the US East Coast at $18,000. From Asia, a 58,000-dwt open Malaysia fixed a trip via Indonesia redelivery China at $15,500. Further north, a 56,000-dwt fixed delivery mid-China for an Indonesian round voyage at $12,000.

Handysize

Positivity grew across the sector as tonnage availability remained limited. In the US Gulf, a 35,000-dwt opening in Tuxpan fixed from SW Pass to the eastern Mediterranean in the mid $20,000s. The South Atlantic also saw further gains as a 37,000-dwt fixed from Itaqui for mid-December dates for a trip to the Baltic at $27,650. Whilst an unnamed large handy was rumoured to have been fixed for a trip from Recalada to the western Mediterranean at $26,000. In the eastern Mediterranean, activity remained high as a 36,000-dwt fixed from Diliskelsi via Alexandria to Houston with an intended cargo of steels at $15,000. The continent was also strong with a 37,000-dwt opening in Riga fixing for a trip to West Africa at $30,000. Small gains were seen in the Pacific as a 28,000-dwt fixed from Japan to South East Asia at $10,000 and in West Coast South America, a 35,000-dwt was fixed for a trip to Singapore-Japan at $21,000.

Source: Baltic Exchange