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Thursday, 07 April 16
PANAMAX RATES ARE FIRMING IN BOTH HEMISHEPHERES - FEARNLEYS
FearnleysCapesize
With a great volume our of west Australia, rates were finally moving to upper 3's. and stabilizing towards the middle of the week in the mid 3's. According to Fearnleys, Tubarao/Quingdao was approaching upper USD 6's, being a considerable improvement from mid USD 5's only a couple of weeks ago. Period rates are finally improving as well, with present one-year rates for nice ships slowly approaching Opex levels.

Panamax
Meanwhile, in the Panamax sector, Fearnleys said that, we have experienced a week with rates firming in both hemishepheres. The levels are still slow, but the TA market is up about 37.5% in one week.

Fearnleys also noted that, the reason behind the increase is mainly caused by the grain season in ECSA. Ballasters are snapping up the cargoes, but this again leads to pressure on the rates for north Atlantic trades. Baltic Index is mid-week showing USD 9275 for front haul basis Continent delivery. We are however in the belief that owners will not sail out for under 10K. In the pacific, we see Aussie / India Cargoes being fixed in the mid 4's. Some short period fixtures have been reported in region of USD 5500 delivery Far East.

Supramax
Fearnleys added that, It has been a mixed week for Supramax sector. With the exception of the USG, all routes have improved. Despite China being off on Monday, there was a significant push early in the week, but this  now seems to be running out of steam. Rate wise we are seeing USD 6000's for Singapore to India, and USD 5000's for Pacific rounds. Short period is trading around USD 5000 for Supras.

Fearnleys concluded by noting that, volume in both the basins is still healthy but the pressure is off the rates for Supras


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