The Baltic Exchange, the world’s independent source of maritime market data, has issued its reports for the last week, 27 April -1 May 2020, to provide information of the bulk and dry market performance. The information is used by shipbrokers, owners & operators, traders, financiers and charterers as a reliable and independent view of the dry and tanker markets.
Tankers – VLCC
- In the Middle East rates for 270,000mt to China have fallen 70 points with a trader’s relet reported to Unipec at WS85 while rates for 280,000mt to US Gulf via cape/cape routing also took a hammering, with a Chevron relet reported to Valero at WS40, down from WS100 a week ago.
- In West Africa, little activity was seen in the market for 260,000mt to China, although some of the failed fixtures from last week have been revived and renegotiated downwards with rates now assessed in the high WS90s and downward pressure continuing to be applied.
- There was very little activity in the Gulf of Mexico, however rate assessments have been revised to the $12m mark for 270,000mt USG/China voyages, $1.4m lower than a week ago.
Tankers – Suezmax
- Rates for 130,000mt Nigeria/UKCont have fallen 50+ points to WS117.5, while 135,000mt Black Sea/Med rates fell similarly to WS127 level.
- In the Middle East market, the focus has been on trips to the Far East where rates have come off, therefore sentiment alone has driven rates down 35+ points for 140,000mt Basrah/Med to low WS90s.
Tankers – Aframax
- Rates within Europe peaked and fell quite dramatically in the latter part of this week. 80,000mt Ceyhan/Med is now at WS172.5-175 level, down almost 60 points, while 80,000mt Cross North Sea is now WS155, a drop of 82.5 points and 100,000mt Baltic/UKC saw a similar capitulation to WS125-127.5 region.
- Across the Atlantic, rates for 70,000 Carib/US Gulf fell a modest 7.5 points to WS215 and 70,000mt US Gulf /UK Continent dipped about five points to WS187.5-190 level.
Tankers – Clean
- Thin availability of tonnage sees rates holding at WS500 for 75,000mt from Middle East Gulf to Japan. The LR1s, which peaked at around WS465 for 55,000mt, are presently assessed at around WS450 but brokers feel rates could be tested here.
- In the 37,000mt UKC to USAC trade rates eased dramatically from WS425 to sit now at around WS250 region with potential to weaken further.
- The market in the 38,000mt backhaul trade from US Gulf to UKC softened from WS 265 to sit now at WS 230 level and remains under downward pressure here.
- The 30,000mt clean cross-Med trade saw only limited activity with rates now assessed at around WS500.
Bulk Carriers – Capesize
- All of the major voyage routes lost value, with the exception of the C5 West Australia-China route, which traded up a modest $0.21 on the week, on a steady fixing cadence by the majors.
- Pacific basin broadly remained the stronger of the two, whilst the Atlantic witnessed further weakness on Thursday, with “K” Line reported to have fixed an end May 180,000 mt Sudeste/Qingdao at $9.80, from which some in the market extrapolated a weaker equivalent $8.80/$9.00 C3 Tubarao-Qingdao.
Bulk Carriers – Panamax
- The North Atlantic appeared severely under pressure with little demand. Several short Baltic rounds were concluded at around the $4,000 mark.
- The Pacific was very much mineral driven, with a good volume of activity from various loading areas, with coal into China and some into India again dominant.
- Some improved activity out of South Africa on coal shipments bought some solace to the post Panamax market.
Bulk Carriers – Supramax/ Ultramax
- From the Atlantic, east coast South America remained fairly flat with a 63,000-dwt fixing a trip to Singapore-Japan at $11,500 plus $150,000 ballast bonus.
- The east Mediterranean spiked a little with a 58,000-dwt fixing a trip delivery Canakkale via Black Sea to China at $13,500 – albeit for a fairly quick trip.
- From Asia, stronger numbers – a 55,000-dwt was fixed from Indonesia to China in the mid $6,000s, and an Ultramax open south China fixed a round voyage with nickel ore at $7,000.
- From the Indian Ocean, a 55000-dwt fixed basis delivery Richards Bay trip to south east Asia at $7,500 plus $75,000 ballast bonus.
Bulk Carriers – Handysize
- There was talk of some mid/large Handysize vessels fixing since early/mid of the week from south Brazil to Morocco/Continent direction in the $5,000s, which brokers considered as an improvement.
- Meanwhile the pressure remained in the Continent / Mediterranean and US Gulf with tonnage building up. A 34,000-dwt was fixed from the US Gulf for a trip to Morocco at $4,000.
- A 28,000-dwt open north China was fixed at $2,000 basis CIS for a short round trip.
The full reports are available on Baltic Exchange’s website, under related category. Namely, the Baltic Exchange information is based on assessments made by a global panel of shipbrokers, covering voyage and timecharter rates for capesize, panamax, supramax and handysize bulk carriers; VLCC, aframax & MR tankers, LPG and LNG vessels as well as forward assessments, vessel values, market reports & fixtures and demolition values.
See also
Baltic Exchange: Maritime market highlights 17-24 April
Baltic Exchange: Maritime market highlights 12-17 April
