The Baltic Exchange has issued its report for the last week, 24-28 February, to provide information of the bulk market performance.
Capesize
The Capesize market saw a strong upward trajectory throughout the week, with the BCI 5TC surging from $8,620 on Monday to $15,074 by Friday, reflecting improved sentiment across both basins. The Pacific market was notably firm, driven by a tightening tonnage list, steady demand from miners and operators, and increased coal cargoes, which underpinned rates. The C5 index rose from $6.65 on Monday to $9.885 by Friday. In the Atlantic, South Brazil and West Africa to China routes saw consistent support, bolstered by fresh cargo and a shorter ballaster list. Rates on the C3 index climbed from $18.31 to $19.875 by the end of the week, with early April dates fixing as high as $20.25-$20.30. Despite limited fresh cargo, sentiment in the North Atlantic remained positive, with the C8 and C9 indices rising steadily. Overall, it was a strong week for the market.
Panamax
Rates in the Atlantic came under severe pressure this week. Sizeable losses witnessed on the trans-Atlantic routes, with absent mineral demand and long tonnage counts only compounded a bleak situation. Asia initially appeared to resist the negative sentiment emanating from other areas as the week started out with healthy volume of fresh enquiry and volume of fixtures, with the North Pacific seeing a steady flow of enquiry along with mineral demand from Australia and Indonesia but less dominant. However, as the week progressed much of the market came under pressure, and end-week rates began to look softer in most areas. EC South America saw moderate levels of fixing throughout the week but index-type tonnage by Thursday were only capable of achieving low $14,000’s + low $400,000’s levels delivery at the port with a ballast bonus. NoPac rounds in the pacific hovered around the $12,000-13,000 mark for 82,000-dwt, whilst the median rate for shorter Indonesian round trips lent towards the $10,000 mark.
Ultramax/Supramax
As the week progressed it became apparent that the recent upturn in the sector had come to a halt. The Atlantic was described as stable, while the US Gulf was considered fairly busy, though rates remained relatively flat. The South Atlantic lacked fresh impetus and rates eased slightly, a 61,000-dwt was heard fixed basis delivery Recalada trip to the Arabian Gulf at Arabian Gulf in the mid $12,000s plus mid $200,000s ballast bonus. The Mediterranean-Continent also lacked demand, at the beginning of the week a 55,000-dwt fixed from the Continent to the Mediterranean at $12,500. From Asia, a similar positive sentiment continued at the beginning of the week but soon eased. Despite this, it was heard a 56,000-dwt open Japan fixed a backhaul via the C.O.G.H. to the Continent-Mediterranean at $14,000. From the south, a 64,000-dwt open Indonesia was heard fixed for a trip to China at $17,000. The Indian Ocean was patchy, Ultramax sizes seeing around $12,000 plus $120,000 ballast bonus for South Africa to China runs whilst further north Supramax sizes seeing between mid $5,000s and mid $6,000s for trips from India to China.
Handysize
This week, the market showed mixed performance, with modest movements across both basins. The Continent and Mediterranean regions maintained their positive momentum, with rates edging slightly above previous levels, and the market appeared supported. For instance, a 25,000-dwt reported fixed delivery Egypt trip redelivery US Gulf with fertiliser at low $6,000. In the South Atlantic, market fundamentals remained strong and indicating continued support, particularly for larger sizes. A 39,000-dwt fixed delivery Recalada redelivery Liverpool at $16,500.
In contrast, although rates in the U.S. Gulf showed gentle improvement, overall activity was relatively minimal compared to other routes. A 38,000-dwt placed on subjects for SW Pass for redelivery West Coast Central America in the $12,000. Meanwhile, in Asia, the market remained strong, driven by a healthy demand-supply balance, particularly for NoPac and Southeast Asia, with several strong fixtures reported. A 38,000-dwt fixed delivery Japan to redelivery Brazil at $10,500.
