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Thursday, 22 February 18
PANAMAX: IT HAS BEEN A SLOW AND UNEVENTFUL WEEK - FEARNLEYS
FearnleysSupramax
Slight improvement from Atlantic with more hope for upcoming weeks. More grain cargoes from Black Sea made fhaul rates better again $17-18k daily.

According to Fearnleys says, USG firmer again with fhauls paying $23-24k daily. Cont have got rid of spot tonnage, Supras to India area have fixed around $20k daily. There broker said in its latest weekly report, there were more cargoes appearing for Q2. Although the Pacific market has been slow during CNY holidays, this week show more activity and positive development on rates. From WCI a Supra obtained around $14k for a trip to China while a trip from Fujairah to WCI is paying around $12.5k. Supras are achieving around $11k delivery S. China for an Indo rv to China and clinker from Vietnam to Bangladesh are paying in the high $8k, said Fearnleys.

Panamax
Commenting on Panamax, Fearnleys says, as expected, it has been a slow and uneventful week. Chinese New Year last week and subsequent holidays this week has led to very little activity, especially in the Pacific. Nevertheless, despite a quieter week than normal the freight rates have started to increase in both hemispheres the last couple of days, well helped by more fresh cargoes in the market and a general psychological consensus that the freight rates will increase when the Chinese are coming back fully.

The latest report from Fearnleys further noted that, in the Atlantic region, the TA market has increased to high $11k’s, while front-hauls are being fixed in the $18 to 19k’s depending on duration. A transpacific RV is now priced at mid $10k’s and we expect the activity to increase further in the coming week.

Capesize
Stable with a positive undertone despite Asian holidays, average earnings flat w-o-w at $13400 says Fearnleys.

Transatlantic trades, over weighted on indexes, appear the soft spot with rates sliding some 10 pct to come in at $12k. Iron ore + coal volumes for early positions support healthy climate for the key Brazil, South Africa, and West Australia to Far East trades, where in particular inter-pacific business stands out as robust and up some 10 pct in value.

Fearnleys research team commented that, market overall in contango as expected this time of year, with consequent notable period interest and activity - representative fixtures include 180k dwt/built 2010 for about 12 months at $20500, and 180k dwt/built 2015 for about 12 months at BCI AVE5TC + 20 pct.


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