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The dry bulk cargo market showed a small increase reaching 1.24%, compared to the previous week, with Panamaxes showing an increase of 20%. The smaller sizes moved in the green albeit marginally, while the Capes retreated. Specifically, Capes decreased by 5.31%, Kamsarmaxes +20.04%, Supramaxes +0.6% and Handies +5.5%, compared to the previous week. Thus, the BDI rose by 29 credits (compared to the previous week) and closed at 2374 credits on Friday March 15th.
Let's see, in more detail, how the dry bulk cargo market by vessels size moved last week, starting with CAPEs. Asia started the week sluggishly and continued at the same pace, since competition between shipowners was intense, for the few cargoes of coal. Index levels on the Australia-China route (C5) closed on Friday at $12.24/tn.
In the North and South Atlantic, they moved downwards, with decreasing activity and negative future forecasts. Towards the end of the week the market picked up steam with more discussions between shipowners and charterers. Indexes on Friday for trips from Brazil to China reached up to $30.99/tn (for the C3 route), while Continent-to-Asia rates closed at $60.31K/d (for the C9 route ) and Transatlantic round trips at $33.07K/day (for route C8).
Regarding the Kamsarmaxes, in the Atlantic and particularly in the north the week moved upwards as there were quite a few cargoes of grain and minerals to Asia. At the same time, the number of vessels decreased. A similar picture in the south where there was intense activity throughout the week. For example, the rates for the trip from the E. Coast of S. Americas (ECSA) to the Far East reached up to $24-26K/day (Asia delivery), Continent to Asia at $29-31K/day (Continent delivery) and transatlantic round trips at $18.5 -20.5 K/day (delivery to Gibraltar).
On the other hand, in Asia the market was active with upward trends as demand was increased outstripping supply in several cases. This image was reinforced by the South American market, offering many alternatives to shipowners. Indonesia-Far East round trip rates moved to $17-19K/day (Far East delivery).
For Supramaxes-Ultramaxes, in Southeast Asia the market fell despite the fact that the supply of vessels was limited. The volume of cargo was small, resulting in calmness in the market. SMXs rates for travel between S. E. Asia and the Far East went to 16.5-18K/day. Further north, in the Far East the market moved at lower levels compared to the previous week as opportunities for shipowners were limited. SMXs rates for NOPAC round trips moved to $13-14.5K/day, W. C. India round trips to $11-12.5K/day and Atlantic Basin (BH) round trips to $12-13, 5K/day.
In the Middle East Gulf and West C. India the market declined further due to reduced demand from W. C. India and the usual cargo flow from the Gulf. SMXs rates for Far East trips ranged between $17-18.5K/day (from Middle East Gulf (MEG) – West C. India (WCI)), for short-haul trips between Middle East Gulf – West C. India at $15.5-17 K/day and trips to the Atlantic at $ 6-7.5 K/day.
In the Atlantic Basin and especially the American Gulf showed an improved picture as the available vessels decreased while the demand increased at a constant rate. SMXs rates for Transatlantic trips reached up to $15-16.5K/day and to Asia $22-23.5K/day. The ECSA area showed more mobility, while the capacity offered was also quite limited. More interest was shown in trips to Asia. The rates of SMXs for trips to the S. E. Asia-China moved to $27.5-29K/day and for Transatlantic trips (Mediterranean/Continent) to $20.5-22K/day.
Continent was particularly active as many vessels found some employment mainly with scrap, fertilizer or petcoke cargoes. SMX rates for round-trip local trips moved to $15.5-17K/day, for trips with SCRAP cargoes to the Mediterranean to $14.5-16K/day and to Asia to $24.5-26K/ day. The Mediterranean strengthened despite the absence of grain cargoes. Cement loads from the eastern Mediterranean came to cover this gap. In addition, operational problems in the Bosphorus Straits due to weather conditions kept many vessels tied up which would add pressure to the market. Indicatively, it is reported that an SMX for a trip from the Mediterranean to Asia closed at $26-27.5K/day (Canakkale delivery), to the other side of the Atlantic Basin at $10-11.5K/day and within the Mediterranean at $ 11.5-13 K/day (outside war zones).
In the Handies market, in Continent the market continued to be bullish thanks to loads from the Baltic which provided another week of support. Rates for the largest vessels in the class, for round trips reached up to $13.5-15K/day, to the Mediterranean with Scrap cargoes at $14-15.5K/day and for Transatlantic trips at $13.5-15K /day.
The Mediterranean advanced not so much because of demand but mainly because of the limited supply of vessels since the Bosphorus delays keep the balance in favor of the shipowners. Larger vessel rates (above 36K tonnes DWT) for intra-Med trips moved to $12-13.5K/day (delivery at Canakkale), to Continent at $11-12.5K/day (delivery to Canakkale), to the other side of the Atlantic Basin at $9.5-11K/day (delivery to Canakkale) and to Asia at $19-20.5K/day.
On the other side of the Atlantic Basin, in the US Gulf the market showed some signs of recovery with several new cargoes in all directions. Indicatively, the rates of the largest vessels in the class for trips to the other side of the Atlantic Basin ranged from $13-14.5K/day and to Asia at $14.5-16K/day.
The East Coast of South America (ECSA) region continued its upward trend, despite a slow start to the week. From the middle of the week onwards, demand improved, resulting in the indicators improving. Thus, the charterers of larger vessels from the ECSA area for Transatlantic trips (Continent – Mediterranean) moved to $20-21.5K/day and to Asia at $24-25.5K/day.
Asia was calm both north and south as Australia and the North Pacific moved at low speeds. Further west the picture was better with the market maintaining its momentum as cargo flow was steady. Far East and NOPAC round trip rates for larger vessels closed at $11.5-13K/day, from S. E. Asia to China at $15-16.5K/day and from the West. C. India to China at $12-13.5K/day.

Disclaimer
This report and the information contained herein it is for general information only and does not constitute an investment advice