An active week from West Australia to China with at least 20 ships fixed but rates moving up just 20 cents so far to $4.00 for 170,000 tonne 10% cargoes from West Australia to China. One major earlier today fixed three cargoes from Dampier at $3.90 and then two cargoes fixed at $4.00. Timecharter trading was slow but sources today said with an up-tick in voyage rates owners were unlikely to look at any business under $6,000 daily. Rates earlier this week for 170,000 tonne 10% cargoes from Saldanha to Qingdao were down in the low $6.00s. However there was some pressure for September cargoes from Brazil with improved timecharter rates paid this week and also voyages rates. The highlight was a report that a super eco newcastlemax the 2016 built Star Poseidon fixed from Tianjin for a Brazil round at $10,800 daily with some suggesting this equated to $9.30. An August cargo was reported today at a tick over $9.00 for a Tubarao/Qingdao run with the ship involved coming from Gibraltar.
North Atlantic activity was slow, particularly transatlantic, although a 160,000 tonne 10% cargo fixed from Puerto Bolivar to Zonguldak at $4.90.
Rates drifted lower for most of the week although sources continued to hope for a floor in both basins. Long-talked of shipments from the US Gulf finally translated into action with August cargoes in the market and this the focus of activity. Trading from other areas has been slow with piecemeal trading from the Black Sea and South America. The latter area did seem well supported for September but rates for the earlier position slipped to the low-mid $7,000s and a bonus in the low-mid $200,000s.
Transatlantic trading has been very sluggish and rates were probably under $5,000 daily for the longer rounds.
In the East rates fell steadily over the week, but even though brokers were hoping a floor has been reached, owners were still taking low rates as the weekend approached. A 75,000 tonner, which sailed from Yantai in ballast, went for a trip from Newcastle to Japan in low $4,000s daily.
There were those talking period rates but at lower numbers. A 10 year old 74,000 tonner agreed $5,400 daily for six to nine months trading with delivery Japan.
From the Atlantic basin it was the US Gulf and east coast South America markets which suffered most from the summer malaise. Modern 55,000 dwt vessels were achieving $8,000 daily basis delivery the US Gulf redelivery Mediterranean and for trips with petcoke to India in the mid $12,000s. From east coast South America a 58,000 dwt was reported to have been covered in the mid $9,000s plus $95,000 ballast bonus for redelivery Singapore-Japan. For the east coast South America trips Continent-Mediterranean, a 63,000 dwt was covered basis delivery Up River redelivery Mediterranean at $7,100. The only light on the horizon seemed to be the Black Sea grains market where more cargoes came into play and a 55,863 dwt 2014 built was fixed at $12,900 daily delivery Novorossiysk for a trip redelivery India and an ultramax achieving $14,000 daily for a similar run. Looking forward into next week brokers suggested this demand from the east Mediterranean would continue and also some suggested that there might be increased pressure from the Continent.
In the East rates also traded lower. A 56,000 dwt 2011 built was fixed delivery Singapore for trip via Indonesia redelivery China in the low $6,000s. A 63,000 dwt was fixed for a nickel ore run basis delivery China via the Philippines redelivery China in the low $8,000s. Later in the week a 61,000 tonner reported basis delivery Singapore for a trip via Indonesia redelivery Japan at $7,300 daily. Backhaul rates seemed stable with a 63,390-dwt heard covered delivery China redelivery Mediterranean at $4,250 daily for first 65 days and $7,000 thereafter.
Period activity remained patchy and a 56,000 dwt was linked to five to seven months delivery Lianyungang redelivery worldwide at approximately $6,750 daily. An ultramax was rumoured to have achieved in the low $7,000s for three to five months delivery Far East redelivery worldwide.
Atlantic activity as usual remained slightly under the radar. A 34,400 dwt was said fixed basis delivery US Gulf redelivery west coast Central America at $11,500 daily. It was rumoured that a Handy was covered basis east coast South America redelivery Singapore-Japan $8,000 daily and an Imabari 28,000 dwt achieved $7,500 daily also for a trip redelivery Far East. A little more activity from the east Mediterranean followed a similar pattern of their larger cousins and a 34,000 dwt was reported fixed in the low mid $6,000s for Black Sea to west Mediterranean.
In the east, a 36,000 dwt was heard covered basis delivery South Korea for a CIS pacific round redelivery south China at $6,800 daily. From the Indian Ocean a 32,000 dwt was rumoured covered delivery west coast India redelivery China at $3,650 and from the Red Sea a 34,000 dwt achieved $3,500 daily for a trip redelivery south east Asia.
For daily dry bulk assessments from the Baltic Exchange please visit www.balticexchange.com/market-information/