The Capesize market broke out of its recent range this week as the 5TC peaked on Thursday before easing Friday slightly down at $36,150. The Pacific routes strengthened throughout the week but softened abruptly on Friday for the Transpacific C10 to be down 485 week on week to $44,928. The Brazil to China C14 was the main mover settling at $34,990 on Friday, still a significant discount to the Pacific. The North Atlantic region continues to be the laggard as vessel and cargo counts remain perilously low.
We have seen more activity this week in the build up to holidays in Singapore and Japan with both owners and charterers looking to find cover. The Black Sea grain season is fully underway and charterers have been busy sourcing tonnage from Asia. A 76,000-dwt was rumoured to have been placed on subjects basis delivery passing Singapore 10-11 August via the Black Sea redelivery Singapore-Japan at $31,000. Also a 82,0000-dwt was rumoured to have been fixed basis sailing Singapore with prompt dates for a trip via East Coast South America with redelivery Singapore-Japan range at $33,500. An 83,000-dwt open Rotterdam 12-16 August was rumoured to have been fixed for a trip via the Baltic with redelivery India at $55,000. In Asia an 82,000-dwt was fixed from China via CIS to China at $28,000. A 76,000-dwt was reported as fixed from China via North Pacific Canada to China at $27,000.
A positive week overall for the sector with rates remaining firm. Limited period activity circulated, but a 58,000-dwt open Hong Kong was fixed for five to seven months trading at $31,000. From the Atlantic the main thrust came from demand in the Mediterranean, a 63,000-dwt was fixed for a trip to West Africa at $48,000. Fresh enquiry was seen elsewhere. On the east coast south America a 61,000-dwt was fixed for a trip delivery Recalada redelivery south east Asia at $27,000 plus $1.7 million ballast bonus. Limited information from the US Gulf but a 60,200-dwt was heard fixed for a trip to Brazil at $40,000. From Asia, despite upcoming holidays healthy interest was seen. A 56,000-dwt open China fixing a North Pacific round voyage redelivery Singapore-Japan at $29,000. There was coal activity with a 61,000-dwt open CJK fixing via Indonesia redelivery China at $29,500. Pressure was seen from the Indian Ocean with a 63,000-dwt open Indonesia fixing a trip via South Africa redelivery far east at around $37,000.
The steady unbroken positive progress of 768 points on the BHSI ended this week with its first negative return since April 2021. However, with a firm Black Sea market, that negative trend was short lived. Period was still active with a 32,000-dwt logs fitted vessel open middle of September in Singapore-Japan range rumoured to have been fixed for six to eight months with redelivery worldwide at $26,000. A 33,000-dwt logs fitted open in Vietnam with prompt dated was fixed for two laden legs redelivery Singapore-Japan range at $30,000. In the Mediterranean a 38,000-dwt was rumoured to have been fixed for a trip to East Coast South America at $36,000 which is one of the firmer regions. In Asia a 37,000-dwt was rumoured to have been fixed on the basis delivery China for a trip to West Africa with a intended cargo of bagged rice at $29,000 for the first 75 days and $31,000 for the balance.