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Tuesday, 14 March 17
ORDERBOOK-TO-FEET RATIO DECREASING; THE FREIGHT MARKET IMPROVING
 It seems as though the renewed optimism that has arisen from the recent upward trends being noted in the freight market, the dry bulk market has been set alight, said Allied Shipping in its latest weekly report.
According to George Lazaridis Head of Market Research & Asset Valuations of Allied, there has been a growing bullish vibe being felt for several months now in this sector, generated by the successive decreases being seen in the orderbook-to-fleet ratio during the course of the past year and all indicators in the freight market pointing to an improved balance. He further noted that the order book to fleet ratio for the dry bulk segment as a whole has now dropped to 7.72%, the lowest figure we have seen in over two decades now. This plays an important role in dissipating concerns over the glut in tonnage supply that we have seen in the market, though this is only half the picture. During the course of 2016, many viewed the excessively low earnings being a directly caused by the excessive number of new buildings being delivered. Having witnessed both the drop in the order book and at the same time a considerable improvement in freight rates, one can easily make the presumption that the supply-demand balance in the market is improving and at a fairly good pace. During the course of 2017, freight rates have held at levels well above what we were seeing back in 2016 and even 2015, while the recent rally that boosted the Baltic Dry Index to above 1,000 points before the start of the grain season in the Atlantic, has only re-enforced the bullish views that have been held by many in this regard.
George Lazaridis further said, it is no surprise therefore that we have seen buyers quickly flocking back into the secondhand market with fears that they will “lose” the opportunities that are still present in the market. Despite the fact that prices have on average risen by around 50% since the low levels of March 2016, asset prices can still be considered to be fairly competitive compared to what we have seen historically since the late 90’s. As such and with earnings now providing the promise of better returns and positive cash flows for new purchases, you can see that there is excess possibility for further price gains to be noted over the coming months. What’s more is that during the time period where we faced some of the biggest difficulties in the freight market, newbuilding prices continued to hold at abnormally high levels compared to equivalent periods in the past. As such secondhand asset prices are at an even higher the normal discount against what it costs to construct a similar vessel. This leaves the conclusion that if earnings continue to stay at “good” levels it will be hard to see similarly low price levels in the future for similarly aged vessels.
All these conclusions are based on the assumption that we have reached a balance in the market and that demand will continue to grow at least at its current momentum, allowing for a continual improvement in the freight market, said George Lazaridis.
This is a fairly big if however, especially if you take a closer look at the volatility being noted in the commodity markets and the general uncertainty being played out in many of those economies that play a vital role in seaborne trade. Further shocks could derail this balance and bring another round of “pains”. Although this does need to be of concern, it seems that even if these negative scenarios play out their consequences to the market would be more minor and short-term then what similar events have caused in the recent past. As such one can’t blame those optimists out there and given the relatively lower risks that are in view, there are fair grounds to claim that opportunities are now much better than most that we have come by in the past 5 years.
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Wednesday, 29 November 17
THERMAL COAL MARKETS WERE A LITTLE BIT MORE SUBDUED - DANIEL HYNES, ANZ
Coal prices were stronger, led by gains in coking coal. Premium hard coking coal jumped above USD200/t for the first time in two months, said Danie ...
Wednesday, 29 November 17
SHIPPING MARKET INSIGHT - VASILIS MOIRIS
In line with most expectations for the end of this month, during the past days the Dry Bulk market realized a significant rebound that sent the BDI ...
Tuesday, 28 November 17
THE DRY BULK MARKET HAS SHOWN A REMARKABLE RECOVERY THIS YEAR - GEORGE LAZARIDIS
The Dry Bulk market has shown a remarkable recovery this year with the average earnings having increased by around 63% this year so far compared to ...
Friday, 24 November 17
U.S. PRODUCED 14.9 MMST FOR THE WEEK ENDING NOV 18; UP 0.9% W/W - EIA
COALspot.com – U.S., the world’s second largest coal producers have produced approximately totalled an estimated 14.9 million short ton ...
Thursday, 23 November 17
PANAMAX: ANOTHER SLOW AND UNEVENTFUL WEEK; DECREASING FREIGHT RATES IN BOTH HEMISPHERES - FEARNLEYS
Supramax
A quiet start to the week. USG closed last week a bit tighter, and continued into the new week on a positive tone with little concluded, ...
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Showing 1866 to 1870 news of total 6871 |
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- Directorate Of Revenue Intelligence - India
- Offshore Bulk Terminal Pte Ltd, Singapore
- Bukit Makmur.PT - Indonesia
- Indonesian Coal Mining Association
- Posco Energy - South Korea
- McConnell Dowell - Australia
- Manunggal Multi Energi - Indonesia
- Thai Mozambique Logistica
- Rashtriya Ispat Nigam Limited - India
- Jaiprakash Power Ventures ltd
- Merrill Lynch Commodities Europe
- CNBM International Corporation - China
- Price Waterhouse Coopers - Russia
- Gujarat Mineral Development Corp Ltd - India
- Chettinad Cement Corporation Ltd - India
- ASAPP Information Group - India
- Commonwealth Bank - Australia
- Coalindo Energy - Indonesia
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Simpson Spence & Young - Indonesia
- Metalloyd Limited - United Kingdom
- Baramulti Group, Indonesia
- Indian Oil Corporation Limited
- Power Finance Corporation Ltd., India
- SMC Global Power, Philippines
- SN Aboitiz Power Inc, Philippines
- Madhucon Powers Ltd - India
- VISA Power Limited - India
- Binh Thuan Hamico - Vietnam
- Australian Commodity Traders Exchange
- Parliament of New Zealand
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Sree Jayajothi Cements Limited - India
- Karaikal Port Pvt Ltd - India
- Jindal Steel & Power Ltd - India
- Altura Mining Limited, Indonesia
- Tata Chemicals Ltd - India
- Coastal Gujarat Power Limited - India
- Kumho Petrochemical, South Korea
- Intertek Mineral Services - Indonesia
- Cigading International Bulk Terminal - Indonesia
- Asia Pacific Energy Resources Ventures Inc, Philippines
- IHS Mccloskey Coal Group - USA
- Eastern Energy - Thailand
- Romanian Commodities Exchange
- Indo Tambangraya Megah - Indonesia
- Alfred C Toepfer International GmbH - Germany
- Medco Energi Mining Internasional
- Holcim Trading Pte Ltd - Singapore
- Indogreen Group - Indonesia
- Savvy Resources Ltd - HongKong
- Kohat Cement Company Ltd. - Pakistan
- Attock Cement Pakistan Limited
- Chamber of Mines of South Africa
- Georgia Ports Authority, United States
- Pipit Mutiara Jaya. PT, Indonesia
- Star Paper Mills Limited - India
- Singapore Mercantile Exchange
- Antam Resourcindo - Indonesia
- South Luzon Thermal Energy Corporation
- MS Steel International - UAE
- Kaltim Prima Coal - Indonesia
- Mjunction Services Limited - India
- Global Business Power Corporation, Philippines
- Aboitiz Power Corporation - Philippines
- Meralco Power Generation, Philippines
- Sarangani Energy Corporation, Philippines
- Bukit Baiduri Energy - Indonesia
- Africa Commodities Group - South Africa
- Borneo Indobara - Indonesia
- London Commodity Brokers - England
- OPG Power Generation Pvt Ltd - India
- Billiton Holdings Pty Ltd - Australia
- Mintek Dendrill Indonesia
- Videocon Industries ltd - India
- Orica Mining Services - Indonesia
- Semirara Mining and Power Corporation, Philippines
- Bukit Asam (Persero) Tbk - Indonesia
- Kalimantan Lumbung Energi - Indonesia
- India Bulls Power Limited - India
- SMG Consultants - Indonesia
- Electricity Generating Authority of Thailand
- The State Trading Corporation of India Ltd
- Barasentosa Lestari - Indonesia
- Wilmar Investment Holdings
- Ind-Barath Power Infra Limited - India
- Eastern Coal Council - USA
- Tamil Nadu electricity Board
- Kapuas Tunggal Persada - Indonesia
- Makarim & Taira - Indonesia
- Sindya Power Generating Company Private Ltd
- Sinarmas Energy and Mining - Indonesia
- Mercator Lines Limited - India
- Timah Investasi Mineral - Indoneisa
- White Energy Company Limited
- Leighton Contractors Pty Ltd - Australia
- Xindia Steels Limited - India
- GVK Power & Infra Limited - India
- Independent Power Producers Association of India
- PetroVietnam Power Coal Import and Supply Company
- International Coal Ventures Pvt Ltd - India
- GAC Shipping (India) Pvt Ltd
- TeaM Sual Corporation - Philippines
- Karbindo Abesyapradhi - Indoneisa
- Mercuria Energy - Indonesia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Salva Resources Pvt Ltd - India
- Indian Energy Exchange, India
- Rio Tinto Coal - Australia
- Bank of Tokyo Mitsubishi UFJ Ltd
- Samtan Co., Ltd - South Korea
- Indika Energy - Indonesia
- Thiess Contractors Indonesia
- Global Coal Blending Company Limited - Australia
- Bulk Trading Sa - Switzerland
- Larsen & Toubro Limited - India
- New Zealand Coal & Carbon
- Central Electricity Authority - India
- Grasim Industreis Ltd - India
- Meenaskhi Energy Private Limited - India
- Vijayanagar Sugar Pvt Ltd - India
- Vizag Seaport Private Limited - India
- TNB Fuel Sdn Bhd - Malaysia
- Petrochimia International Co. Ltd.- Taiwan
- The Treasury - Australian Government
- Minerals Council of Australia
- Sojitz Corporation - Japan
- Sakthi Sugars Limited - India
- PNOC Exploration Corporation - Philippines
- Pendopo Energi Batubara - Indonesia
- Latin American Coal - Colombia
- Renaissance Capital - South Africa
- Oldendorff Carriers - Singapore
- LBH Netherlands Bv - Netherlands
- Electricity Authority, New Zealand
- Uttam Galva Steels Limited - India
- Bhoruka Overseas - Indonesia
- Ambuja Cements Ltd - India
- Kepco SPC Power Corporation, Philippines
- Marubeni Corporation - India
- Australian Coal Association
- Ministry of Mines - Canada
- Carbofer General Trading SA - India
- Essar Steel Hazira Ltd - India
- Lanco Infratech Ltd - India
- CIMB Investment Bank - Malaysia
- Asmin Koalindo Tuhup - Indonesia
- Directorate General of MIneral and Coal - Indonesia
- Anglo American - United Kingdom
- Maheswari Brothers Coal Limited - India
- Sical Logistics Limited - India
- Gujarat Sidhee Cement - India
- Agrawal Coal Company - India
- Bharathi Cement Corporation - India
- Interocean Group of Companies - India
- Petron Corporation, Philippines
- Edison Trading Spa - Italy
- Global Green Power PLC Corporation, Philippines
- Bhatia International Limited - India
- Energy Development Corp, Philippines
- Port Waratah Coal Services - Australia
- Semirara Mining Corp, Philippines
- European Bulk Services B.V. - Netherlands
- Ministry of Transport, Egypt
- Siam City Cement - Thailand
- Iligan Light & Power Inc, Philippines
- Wood Mackenzie - Singapore
- Neyveli Lignite Corporation Ltd, - India
- ICICI Bank Limited - India
- San Jose City I Power Corp, Philippines
- Energy Link Ltd, New Zealand
- Standard Chartered Bank - UAE
- Parry Sugars Refinery, India
- Orica Australia Pty. Ltd.
- Coal and Oil Company - UAE
- Trasteel International SA, Italy
- GMR Energy Limited - India
- Bangladesh Power Developement Board
- Jorong Barutama Greston.PT - Indonesia
- Therma Luzon, Inc, Philippines
- Vedanta Resources Plc - India
- Siam City Cement PLC, Thailand
- Central Java Power - Indonesia
- Ceylon Electricity Board - Sri Lanka
- Bhushan Steel Limited - India
- Gujarat Electricity Regulatory Commission - India
- Riau Bara Harum - Indonesia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- The University of Queensland
- Cement Manufacturers Association - India
- Kartika Selabumi Mining - Indonesia
- Bahari Cakrawala Sebuku - Indonesia
- Miang Besar Coal Terminal - Indonesia
- Goldman Sachs - Singapore
- Heidelberg Cement - Germany
- Bayan Resources Tbk. - Indonesia
- Economic Council, Georgia
- Straits Asia Resources Limited - Singapore
- Maharashtra Electricity Regulatory Commission - India
- GN Power Mariveles Coal Plant, Philippines
- AsiaOL BioFuels Corp., Philippines
- Aditya Birla Group - India
- Globalindo Alam Lestari - Indonesia
- Ministry of Finance - Indonesia
- Toyota Tsusho Corporation, Japan
- Malabar Cements Ltd - India
- Deloitte Consulting - India
- Kobexindo Tractors - Indoneisa
- PowerSource Philippines DevCo
- Formosa Plastics Group - Taiwan
- IEA Clean Coal Centre - UK
- Kideco Jaya Agung - Indonesia
- PTC India Limited - India
- Dalmia Cement Bharat India
- Planning Commission, India
- Banpu Public Company Limited - Thailand
- Krishnapatnam Port Company Ltd. - India
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