The market followed the bunker price this week and then a Chinese holiday put the brakes on especially in the East. As bunker values rose at the start of the week so did voyage rates but they turned as soon as prices slipped back. On the key West Australia/China run rates crept back over $5.00, dipped under $5.00, but then with a tweak up on bunkers values went to $5.10 for a 17 September onwards cargo from Port Hedland. Timecharter trading was negligible and sources suggesting rates were barely in the $8,000s daily for Pacific rounds although gains on voyage could strengthen resolve. Trading too was sluggish from Saldanha Bay/Qingdao but some timecharter business concluded was said to show a voyage equivalent nudging $8.00.
Brazil trading was intermittent and reports that Vale booked three cargoes this week in the upper $10.00 to $11.00 range were not validated. There was reportedly business concluded from Ubu to Qingdao at $11.75.
The Atlantic was a touch more active particularly on the fronthaul with Rio Tinto active from Seven Islands to Qingdao reportedly fixing a 19-28 September cargo on this run in the low $14.00s. Transatlantic trading has been slow but a 179,000 tonner open Gibraltar prompt fixed a round voyage probably via Colombia at $7,000 daily.
Falling rates in most areas of the market with the north Atlantic very slow and bereft of any significant inquiry, particularly Baltic short haul runs. Charterers have the upper hand and as the list of tonnage grows there were more ships ready to head off in ballast although the US Gulf was still slow with committed tonnage and ships coming from the Pacific. The pace has slowed from east coast South America and here rates for decent ships looked set to slip below $12,000 daily plus a $200,000 bonus and transtlantic rates were barely holding around $10,000 daily plus a $100,000 bonus.
There has been more activity in the East but with the market facing this imbalance owners with prompt ships were dropping their rates. Added to this the pace has slowed for cargoes from Indonesia. Owners were still able to secure a limited premium for cargoes to India with a reluctance to head there with South America slowing. NoPac round voyage rates were hovering around $6,000 daily for unexceptional tonnage.
A week of easing rates across most areas this week with the pressure easing in the Black Sea market with less cargo and a build-up of tonnage.The Black Sea to Far East route having seen good spec 58,000 dwt vessels now talking closer to $13,000 daily levels and the charterers holding off for less.
The Continent seemed to be remaining steady where rates for scrap runs to the east Mediterranean were around the $12,000 – $13,000 daily.
The US Gulf was quieter with the build up to the Labour Day holidays next week and lower numbers with a 57,000 dwt vessel recently agreeing an easier $17,000 daily. From east coast South America area the steam appeared to have evaporated with rates of around $12,500 plus $250,000 ballast bonus for trips to the East being talked about.
In the East again rates have slipped with holidays in China and Hong Kong now having slowed trade. Weaker rates have appeared for Indonesia coal runs where supramaxes were being concluded at around $4,000-$5,000 daily for South China /Indonesian rounds.
A more difficult week for this size in certain areas this week, and like the bigger cousins in the East Mediterranean there has been a build-up of tonnage and fewer cargoes appearing in the market.
The Continent did appear to be slightly more stable where this size tonnage availability seemed tighter and rates for scrap runs to the Black Sea were at similar levels to supramaxes.
There has been an easing of cargoes from the east coast South America area whilst in the East this remains quite positional and better description vessels on good positions able to achieve closer to $5,000 for Australian round voyages.
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