The Capesize market lost ground throughout the week with the average of the five time charter routes trending down from $21,526 on Monday to $17,255 on Friday. The west Australia to Qingdao route lost $1 over the week, with fixtures at $9.75 at the close, whilst the Brazil to Qingdao trade fell below $26 by Friday. Limited activity surfaced from the North Atlantic region as both fronthaul and Transatlantic cargoes appeared lacking. A Saldanha Bay to Rotterdam cargo was fixed below $8 and an Australia to Ijmuiden cargo was fixed in the low/mid$20s, both showing a much lower time charter equivalent value on the backhaul run. The route index eventually dropped into negative territory at -$472. It was the first time since the end of February that the revised backhaul run fallen below 0 dollars. In contrast to the current negative sentiment, the peak of the year for the route was in May at over $30,000 per day.
Another softer week for the Panamax market as owners felt the recent pressure continue across all basins, some limited resistance shown in the North Atlantic but this was largely position led with fundamentals weaker overall. The P1A route hovered in the $19,000s all week, although bids in the latter part of the week were heard to be closer to $17,500. Activity ex EC South America was mostly flat with end August/early September arrival dates floating around the $18,500 mark. Asia saw glimpses of fresh demand ex Australia and to a lesser degree NoPac, but rates drifted over the week with the tonnage count surpassing any demand. A rate of $16,750 was concluded by an 81,000-dwt delivery Japan for a NoPac round trip midweek, but returned closer to mid $15,000s for the same trade by the end of the week. Period activity was muted, however an 81,000-dwt delivery Vietnam achieved a shade over $20,000 for six to eight months trading.
For the most part, Atlantic activity was limited with the summer season in full flow and negative sentiment visible across both basins. A 63,000-dwt open in Cotonou for early August fixed via East Coast South America to Singapore-Japan range at $24,000 and a 64,000-dwt fixed basis delivery East Coast South America to Singapore-Japan range at $18,800, plus a ballast bonus of $880,000. A 56,000-dwt fixed from SW Pass to the Continent with an intended cargo of Petcoke at $29,000 whilst a 55,000-dwt fixed from South Spain to West Africa at $21,000. In Asia a 58,000-dwt fixed from Singapore via Indonesia to China at $18,000. A 63,000-dwt was rumoured to have been fixed for a trip from Japan to the US Gulf at $22,000. On the period front a 63,000-dwt open prompt in Singapore fixed for four to six months at $33,000 with the scrubber for Charterers benefit.
With largely negative sentiment this week, levels in most regions declined. A 37,000-dwt was fixed from Recalada to the Western Mediterranean with an intended cargo of grains at $32,000 and a 38,000-dwt fixed from Barcarena to Portugal at $28,000, both earlier in the week before brokers said that levels had started to diminish due to lack of enquiry. A 40,000-dwt was rumoured to have been fixed from the US East coast to Aquaba at $25,500. Asia was also in decline with a 38,000-dwt fixing from Singapore via Western Australia to South East Asia with an intended cargo of Alumina at $22,000. A 32,000-dwt was fixed from Japan to South East Asia with an intended cargo of slag at $16,500. A 38,000-dwt open in Kaohsiung end July fixing for two to three laden legs at $27,250 and a 32,000-dwt open in Lanshan fixing for two to three laden legs redelivery Singapore-Japan range at $20,750.