Freight market report in short
Today’s BSI failed to reach the 1’000 points and declined by 7points (BDI dtd 15th dec), when BHSI is approaching the 600pts mark, still 4 points to go while Capers losing 17% / Panamaxes losing 6%
No major changes Vs yesterday. On the Handies, the Atlantic routes keep their movement up and you should read the analysis proposed by BMTI in the attached « handy bulk view point – from the desk of a continental shipbroker ». In summary, our fellow broker is questionning for how long the Atlantic can remain in this direction. Arguing, still too many ships at sea, ballasters from India en route to take their share of the pie ex ECSA and no mention of the USG market.
From USG the momentum is still here however it seems it easing a bit. Back on the ECSA, this one raised our attention « Grain charterers were bidding US $ 16’000 daily on a 34’000dwt for a trip to Med , which numbers make some charterers think twice and consider taking a supramax at US $ 12/13’000 daily instead ». Surely, if the supra can fit into ports restrictions, even with a cut size, it shall calculate better for charterers to look after a 52’000dwt rather than a 34’000dwt.
On the S&P market, with no surprise the price for a second hand 5 yrs old 32’000dwt has increased by close to 30% in the last month. Buyers being more and more confident they’ll make money on the chartering market with these US$ 11.5 million ladies.
While drybulk market remains very fragmented, the container market is mainly controlled by few players M Skou maersk boss stated in an interview « By 2018 the top five carriers will have about two thirds of the global market, […] The industry does not need any new ships.” Full article here
Finally we were highlighting to you few days ago the nomination of Miss Elaine Chao to the US dept of Transportation and probable issues in regards to her family interests and American’s ones. Add a ‘s’ to Chao and you end up with a chaotic situation, but this will not happen, right ? full article here Chao(s) in the FOC in US?. Needless to add ProPublica is a kind of American anti-system newsroom.
Remaining at your disposal, we have a decent IT system our side which shall enable us to give you our opinion about the market and how to handle it in order to fix to the best of your interests.