The Baltic Exchange has issued its report for the last week 12-16 May to provide information of the bulk market performance.
Capesize
The Capesize market closed the week on a firm and optimistic note. Early activity was stifled by the Vesak Day holiday in Singapore, and while initial trading was subdued, sentiment remained bullish from the previous week, underpinned by stronger bids and tightening tonnage. In the Pacific, although early-week rates softened slightly amid heavy enquiry, support returned mid-week with rising values and strong miner engagement. The C5 market showed steady improvement, with the index closing at $8.195.
The Atlantic presented a more complex picture. Early concerns over growing ballaster numbers and logistical issues, such as the San Nicolas loader breakdown, created pressure. However, robust demand from South Brazil and West Africa, coupled with tight tonnage in the North Atlantic, gradually boosted sentiment. A floor developed on C3 at around $18.00 by mid-week, with the route closing at $19.405. Notably, the fronthaul market firmed significantly, reflected in a sharp rise in the C9 index. By the end of the week, momentum across both the Atlantic and Pacific helped the BCI 5TC recover to $16,736, marking a gain of over $2,382 week-on-week.
Panamax
A lacklustre week for the Panamax market more noticeably in the Atlantic as limited demand was met with an increasing tonnage count. The Atlantic lacked trans-Atlantic demand and returned a predominantly fronthaul led basin although rates here came under pressure mid-week with a tonnage/cargo imbalance. Reports Monday had an 82,000-dwt delivery Continent achieving $20,000 for a trip via US East coast redelivery India, however by mid-week for the same trip $14,000 was concluded highlighting well the decline in levels as the week went on.
In Asia, a mixed week with the NoPac market lacking any kind of support rates consequently drifted, however demand ex Australia did improve over the week with improved levels seen on the nearby position, reports midweek of an 82,000-dwt delivery Japan agreeing a rate of $11,000 for trip via EC Australia redelivery Japan. Subdued period activity reporting but it did include rumours of an 82,000-dwt delivery China fixed basis 5/7 months at $13,750.
Ultramax/Supramax
With holidays and various shipping events throughout the week it was a rather lacklustre affair overall. The Atlantic saw demand remain from the US Gulf although this seemed to be easing as the week closed. A similarly story from South America certainly for trans-Atlantic runs. A 58,000-dwt was heard fixed basis delivery Fazendinha for a trip redelivery at Otranto $17,850.
The Continent-Mediterranean lacked fresh impetus and rates remained under downward pressure. The Asian arena was described by some as positional, a 58,000-dwt was heard fixed basis delivery Singapore trip via Indonesia redelivery China at $12,500. Whilst a 63,000-dwt fixed delivery Surabaya trip via Indonesia redelivery Thailand at $17,000. The Indian Ocean saw a reasonable amount of activity, but again this seemed to be slowing as the week ended. A 64,000-dwt was fixed basis delivery Saldanha Bay for a trip to China at $20,000 plus $200,000 ballast bonus. It remains to be seen what the upcoming week has in store as most return to their desks.
Handysize
This week, the market saw minimal visible activity across both basins. In the Continent and Mediterranean, market fundamentals remained soft with sentiment stayed somewhat positional. A 37,000-dwt fixed delivery Bejaia via Jorf Lasfar to redelivery Samsun at $7,000. Sentiment in the U.S. Gulf remained subdued, with tonnage count seems to maintain its length and putting further pressure on rates. A 37,000-dwt fixed a trip delivery Hampton roads redelivery Continent with coal at $10,500.
In the South Atlantic, market fundamentals remained largely balanced, for instance a 36,000-dwt vessel was fixed for delivery Recalada for redelivering to the NC South America at $15,500. In Asia, some sources noted a slight increase in the tonnage count, but cargo volumes have helped keep rates steady for now. A 38,000-dwt vessel was fixed for delivery in CJK, via Bing Bong, redelivering to Continent with concentrates at $13,500.
