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Thursday, 06 November 14
THE ATLANTIC HAS REMAINED STRONG WITH A HEALTHY SUPPLY OF NEW CARGOES

Handy
This week has continued its slow trend in both hemispheres and even though rates are a bit up w-o-w it is not a clear sign for any improvement short term, Fearnleys AS said in its latest weekly report.

The broker further noted that, in the Atlantic Fearnleys AS still see an oversupply of tonnage and the usual seasonal upturn is yet to be seen. TA´s are now paying around US$ 9k while trips from Continent to Feast are being fixed in region of US$ 14k. In the Pacific Fearnleys AS is also seeing an oversupply of tonnage and Pac rounds are being fixed at US$ 8k. Period fixtures are few but modern Ultra´s with good specs are seeing around US$ 12k.

Panamax
On Panamax, the broker Fearnleys AS said, Panamax rates have taken a solid breather, after about 50% increase in transatlantic levels and 25 % rise on average BPI 4 TC over the last 2 weeks. There are still fresh requirements in both hemispheres, there is still a fair activity level, but sentiment has got an ugly beating from a falling forward curve and steady over-supply. Atlantic rounds on T/C giving owners about 10.000 in return, but voyage rates have come down considerably. North Atlantic fronthaul still is paying reasonably good at 16-17K, but USG grains activity seems to been reduced with voyage levels at 44. ECSA rounds now at 15 + 500. The Far East is suffering from the same negative trend however Nopac and Aussie rounds still at healthy 12.000 on averages, or more for trips to India. Owner's interest in short period up to about 1 year at 10.000 maintains, but takers have vanished.

Capesize
According to Fearnleys AS, the Atlantic has remained strong with a healthy supply of new cargoes throughout the week. The front haul activity has been steady, mainly represented by iron ore out of Brazil. West Australia iron ore activity has however been limited, having resulted in a pressure on the Pacific rates. In addition FFA values have been coming off day by day, and these two latter aspects are for sure resulting in more uncertainty amongst the owners.



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