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Thursday, 04 May 17
SUPRAMAX: INDO COAL ROUNDS LEVELS WITH DELIVERY CHINA IS TRADING AROUND LOW $6K, TRIP BACK TO CHINA
PanamaxSupramax
The short week brought weaker rates across all routes. Supras from USG to Japan were fixed around $19-20 k daily and from ECSA to ECI $13k + bb, 
Fearnleys says in its Weekly Dry bulk report.

Fearnleys further said, there were fewer scrap cargoes from Cont to Med and some of them were fixed only at $11-12k daily. Supras from cont to ECSA were trading around $8k daily. On period side 
supras obtained $12k for 4/6 months del Atlantic redelivery ww.

According to Fearnleys Weekly Dry bulk report, the Pacific market has continued declining this week with the growing amount of available tonnage. North China to SE Asia is being fixed in levels around $6-6.5k while backhauls to USG is from the same area are fixed around low $3k. Indo coal rounds levels with delivery China is trading around low $6k for the trip back to China.

Panamax
Commenting on Panamax, Fearnleys noted that, the Panamax market has continued to drop sharply on all routes during the last week, but the Atlantic region is again under severe pressure with TA rates dropping to low $8k’s and FH in the range of $13k's to $14k’s. Rates in the pacific have steadily been falling and a transpacific RV is now at levels around mid $8k’s.

Fearnleys further said, very little activity out of South America both in the Atlantic and Pacific region has been the main reason for the decreasing rates. It seems that the market is about to flatten out as the forward curve has found some support lately. FFA’s, May is priced at mid $8k’s, while Jun is at high $8k’s in the P4TC.

Capesize
Fearnleys analyst says, dull and with downward direction for cape as holidays hamper spot activity and trade flows generally low. Coal transactions unchanged at unimpressive levels, whilst iron ore volumes from west Australia and in particular brazil well below expectations, with resultant early units, slowly beginning to pile up in a lack of employment.

Fearnleys noted that average spot earning for modern 180000-tonners taking a 10 pct hit w-o-w, coming in at $11800, whilst pacific rounds losing 15 pct to come in at $11k. The common belief appears to be the setback is temporary, as long-duration spot business trades at a premium to short. Period suffers under lack of paper support, but 4-7 months nevertheless just done at a healthy $15500 for 178kdwt/built 2010.


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