The Baltic Exchange, the world’s independent source of maritime market data, has issued its reports for the last week, 31 May – 4 June 2021, to provide information about the tanker and bulk 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.
Bulk carriers
-Capesize
- The Capesize market found little to support levels this week as a steady slide in rates saw the 5TC drop $4,681 over the week to settle at $20,933.
- In the Pacific the Transpacific C10 at $23,333 is still easily the best paying region. But in the race down, the spread to other regions is beginning to narrow. Laycans for West Australia to China are dated at the end of June so the market is now pushing into the second half of the year.
- With stellar returns for owners in recent months the expectations may be high for the second half of the year as Covid-19 remains prevalent and other dry shipping sectors buoyant.
-Panamax
- In the east there were mixed feelings with opinions divided among brokers on Pacific round voyages. On the period front a 2019 built 82,000-dwt delivery Tianjin in early June was fixed for five to seven months at $27,500 with worldwide redelivery.
- For east coast South America round voyages a Kamsarmax was paid $31,000 delivery east coast India early in the week and a similar sized vessel was reportedly paid at similar level basis Singapore delivery later in the week.
- An 82,000-dwt was paid $25,000 basis 20/28 June delivery Santos for a trip to China plus a $1.5 million ballast bonus.
-Ultramax/Supramax
- A week of mixed fortunes as limited fresh enquiry from the Asian arena early in the week lead to rates easing. But as it ended, brokers said some resistance was seen from owners.
- The Atlantic fared better with positive gains in most areas. Period cover was sought with Ultramaxes in the Atlantic seeing around $30,000 for short period, whilst a 64,000-dwt open in the Far East saw around $24,000 for one year. There were better numbers from the Continent as Ultramax saw in the upper $20,000s for scrap runs to the east Mediterranean.
- From Asia, a 57,000-dwt was fixed delivery south China for an Indonesian round at $25,000. Strong numbers were again seen from the Indian Ocean with the Ultramax size seeing in the upper $19,000s plus high $900,000s ballast bonus for trip from South Africa to China.
-Handysize
- In Asia, a 32,000-dwt open China was rumoured to have fixed nine to 11 months with redelivery in the Pacific at $17,000.
- In the US Gulf, the Centurius (33,367 2015) was rumored to have fixed basis delivery SW Pass for a trip to Spanish Mediterranean with Grains at $19,750 to Triomphe.
- The Integrity Daido (39,287 2019) fixed basis delivery Dop Bilbao via Antwerp to the US Gulf with steels at $21,500. And the Ocean Honesty (38,276 2013) fixed basis delivery DOP Japan to the Mediterranean with steels at $30,000.
Tankers
-VLCC
- In the Middle East the market for 280,000mt to US Gulf (routing via the Cape/Cape) is assessed about half a point weaker at just below WS19. Rates for 270,000mt to China have dipped, last assessed at WS34-34.5 level (showing a round-trip TCE of minus $100/day).
- However, reports overnight detail a couple of fixtures on subjects to Chinese charterers in the WS32.5-33.5 range. In the Atlantic, rates for 260,000mt West Africa to China are assessed a point lower at WS35-35.5 region ($2,130/day TCE) with very little fixture activity on the route again this week.
- It’s worth noting that Brazilian charterers are reported on subjects with Bahri’s 2017 built ‘Rimthan’ 270,000mt at WS32.8 for a voyage Brazil to North China. Meanwhile, 270,000mt for a trip from US Gulf to China saw rate assessments drop $217k to $4.2m (a TCE of about $4.2k/day).
-Suezmax
- In the 135,000mt Black Sea/Med market, rates remained static at the WS57.5 level (a round-trip TCE of about minus $5.8k/day). In the 130,000mt Nigeria/UK Continent market rates eased a point to the WS47.5 mark (a round trip TCE of minus $1.6k/day).
- The market for 140,000mt Basrah/Med is rated a point higher at WS24, while Turkish charterers earlier this week went on subjects with Sovcomflot’s 2010 built SCF Baikal at WS24.5 basis the revised Worldscale flat rate and owners picking up the port costs at Basrah.
-Aframax
- In the Mediterranean, the market has fallen with rates for 80,000mt Ceyhan/Lavera losing four points to WS85-86 region (a TCE of about $1.5k/day basis a round voyage).
- In Northern Europe rates have dipped, with the market for 80,000mt Cross-North Sea three points lower than last week at WS90 (about minus $3.6k/day TCE round trip). Rates for 100,000mt Baltic/UK Continent are down three points at WS65 (a round trip TCE of about minus $450/day).
- Across the Atlantic, the market has continued to weaken with a build up of prompt tonnage in the US Gulf.
-Clean
- In the Middle East Gulf LR2 owners have faced a flat market with rates for 75,000mts to Japan stuck at WS80 level. The LR1s have seen rates come under downward pressure with the market for 55,000mts easing from just below mid WS90s to sit now at close to WS 87.75 region.
- The negative sentiment here has also filtered through to the MRs with rates starting the week just shy of WS175. However, these have gradually eased down with ENOC now reported to have taken Zodiac tonnage at WS162.5 for 35,000mts in to East Africa.
- For owners trading MRs from the Continent it was a slightly better week with rates for 37,000mts to USAC initially firming to WS135, which is where the market has presently settled. There was no such luck coming the other way with rates for 38,000mts from US Gulf to UK Continent easing five points to WS65 and runs to Brazil have been hovering in the WS105 region.