The Capesize market rebounded briefly this week to provide some hope of a revival in rates after its recent October fall from heights. Early in the week all routes were seeing gains with the Capesize 5TC pricing up and over the 30k levels before end the week on a down note -298 to settle at $31,811. The Atlantic basin was the first region to wane, although the Transatlantic C8 still demands a premium over other routes at $37,005. With visibility on pricing difficult due to a lack of cargoes and fixing volume in general, several Charterers were able to take advantage fixing at unexpectedly sharp levels. The Pacific basin's positive sentiment looked to be growing initially yet by the week's end the market seemed quieter and levels looked to be weakening slightly. The Transpacific C10 closed down -300 to $33,471 while the voyage route West Australia to China C5 closed down -0.091 at $12.923. Paper derivatives indicate a slight softening of levels from now into Q1, yet with an energy crisis in North Asia and severe weather expected in East Australia there are plenty of factors that may disrupt that view.
It proved to be a tumultuous week in the Panamax market, with the stronger optimism seen around on Tuesday quickly eroding away with the week ending on a weaker tone. In the Atlantic, the short Baltic round trips proved mainly well supported with a host of fixtures concluded around the upper $20,000s/low $30,000s levels. However, aside from a small premium paid for early arrival dates ex EC South America, the longer duration trips remained under pressure all week with charterers seen retracting bids or even stepping back as some chased rates lower. Asia too saw further erosion in rates. This was despite some decent level of NoPac support and some Japanese tender cargoes, which gave some North positions a midweek boost. However, with minimal fresh demand elsewhere, trips ex Indonesia and Australia became further discounted. A 79,000-dwt delivery China agreeing $19,000 for a trip via Indonesia redelivery South Korea was a good indicator of the market.
A rather subdued week overall. However, some areas such as the US Gulf in the Atlantic and north Asia saw a little more resistance to the declines seen elsewhere as of late. Little in the way of period activity surfaced. But a 58,000-dwt open Asia was rumoured fixed for one year at $19,000. In the Atlantic, from the US Gulf more cargo enquiry was seen. A 61,000-dwt fixing in the mid ish $40,000s for a trip to the Far East. Whilst for transatlantic runs, a 57,000-dwt was seeing in the low $30,000s. Limited activity elsewhere, with East Coast South America remaining finely balanced from the East Mediterranean. Little was seen, but a 57,000-dwt was heard fixed for a trip delivery Canakkale redelivery Arabian Gulf-India in the mid $30,000s. From Asia, a split scenario as an abundance of prompt tonnage remained in the South whilst further north slightly more enquiry was seen in the market. A 61,000-dwt open South Korea fixing a CIS Pacific round at $20,500.
The Asia markets have continued to soften and the Atlantic has also joined this negative sentiment, except from East Coast South America, which has made positive gains. A 34,000-dwt open in Japan was fixed for a trip to South East Asia at $23,000. A 36,000-dwt open in North China was fixed for a trip via Australia to the Continent at $16,000 and a 39,000-dwt open in Japan was fixed for a round trip via Australia at $19,750. In Argentina, a 40,000-dwt was fixed from Upriver Plate to the Continent at $44,000 and a 38,000-dwt open Upriver was fixed to West Coast South America in the high $40,000s. A 37,000-dwt open in Mobile was fixed with woodpellets to the UK-Continent at $28,000. A 34,000-dwt was fixed from Gibraltar via the Western Mediterranean to Vera Cruz at $31,500. A 38,000-dwt open in Brazil was fixed for 12 months period with worldwide redelivery at $24,000.