Transition week… let’s call it this way

Sure you have been attending some key meeting in your job and when results
are not exactly as per expectations. In this case the speaker, ie the one presenting the charts with poor achievement compared to objective set is declaring, “we are in a transition period”. Which is the politically  correct wording for saying “we were probably to ambitious when we set our objectives and we did not put enough investment to reach them and as a
result we fail”.
It’s about what’s happening on the chartering market. Looking at the index decline, reading various report, discussing with counter parties, the general sentiment is that it’s been a slow week and Owners are all hoping for fresh new enquiries being on the market for next week.I can say then very cleverly, this 1st week off August is a transition week between end July -which has been fairly active- and 2nd week of August -which hopefully will be active-. But this remains to be seen. Really, the only index value which has been up this week is the Baltic Exchange who got a proposal from SGX at $102Million. Overall the only area which have been seen to be quite active is, with no surprise the Black Sea area and the activity there is strong enough to have an impact on the Continent/baltic market has these areas end up to be short on tonnage. Seems there is a bit of a discrepancy (but we are used to it) between what index showings on the Handy HS3 being today at 6311 (-25) when we can see on the other side tct from Brazil to Black sea are discussed at about this
level. If we consider the destination and hoping in Blsea market will remain strong for the weeks to come, it could be therefore a good move for owners. We also heard an index type 28kdwt was fixed Dely Ecsa Redel FEAST at $7’500 daily, a rather small premium to send the ship from atlantic to Pacific where local buisness giving tce daily below $6000 daily.

Finally exchanging with few other brokers, the rumour circulated about a large handy fixing at around $7,000 daily from the Continent for a trip to the Mediterranean (1),a
32,000-tonner was being linked to a trip from the Continent to West Africa at about $9,000 daily (2). The Zhe Hai 2 35,104-dwt 2012-built was fixed on subjects at $6,000 delivery Antalya for a trip to  the western Mediterranean/Continent range.

(1) running some voyage equivalent here on this elusive large handy our estimate bss vsl’s ex rouen 10kx to algeria 2.5 bss $7000 aps w/ 32’000mt bulk wheat freight equal something like $14.20pmt, same but with only 29’000mt loaded, freight coming up to $15.00pmt… quite different than the 12.50usdpmt mentionned earlier in market reports
(2) this 32kdwat fixed from La Pallice to Abidjan, again running some estimates here bss 7000x at load / 4000c at disch with da’s all ends for owners accnt, with about 27’000mt of bulk wheat loaded (due to draft restriction in Abidjan) the voyage equivalent is at 15/16usdpmt.

Have a nice week-end wishing you this week-end to be a bit more than just a transition period between this friday to the next monday.

cheers

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