As we enter a week marked by Easter celebrations across both Catholic and Orthodox calendars, the dry bulk market navigates through familiar yet shifting waters. Let’s take a closer look at this week's performance across the Handysize and Ultramax sectors.

 

• US Gulf / US East Coast (USG/USEC): The Handysize segment in the USG/USEC region maintained a relatively steady course, with balanced demand and supply. Despite healthy fundamentals, actual fixtures were limited. A notable trend was Chinese tonnage ballasting southward, subtly tightening availability. The market is expected to remain active in the coming week, though with moderate momentum.

• East Coast South America (ECSA): Activity in ECSA diverged between the north and south. Northern Brazil faced oversupply, exerting downward pressure on rates. Conversely, southern areas showed stronger demand, particularly out of Argentina and Uruguay. Still, ample tonnage availability across the region prevented any meaningful rate improvement. Expect heightened volatility in the short term, as uncertainty remains over the pace and consistency of cargo flow.

• Continent: In Northern Europe, owners largely held their ground rate-wise, despite increasing vessel supply. A handful of fixtures materialized, mostly mirroring last done levels. The overall sentiment has turned bearish, with many owners already contemplating repositioning their vessels southbound in search of better employment.

• Mediterranean: The Med remained subdued, with limited activity aside from some US Gulf-bound cargoes that paid marginal premiums to non-Chinese tonnage. Most fixtures were concluded at parity with previous levels. With a growing tonnage list and minimal grain stems, the market appears to be heading for another soft week.

• Middle East Gulf / India (MEG/India): A stable and encouraging week for MEG/India, where healthy demand lifted sentiment and rates across several key routes. Barring unexpected shifts, the outlook remains optimistic for next week, with smooth sailing anticipated in the short term.

• Southeast Asia / Far East (SE Asia/FEast): Rate corrections continued across the region due to a scarcity of fresh cargo and oversupply of open tonnage in both the north and south. The lack of momentum weighed on earnings. A pick-up in demand is essential to support a potential bottoming out in the coming week.

 

 

• US Gulf / US East Coast (USG/USEC): The Ultramax segment mirrored the uncertainty seen in Handies. Spot cargoes remained sparse, allowing tonnage to accumulate. Market direction remains unclear, and more clarity is expected once there's progress on USTR policy developments, which are currently weighing on sentiment.

• East Coast South America (ECSA): A selective rally in the region was driven by river cargoes with LOA restrictions, limiting the eligible vessel pool and pushing rates upward—especially for Transatlantic runs. Additional front haul stems could help maintain current strength.

• Continent: A muted week in the Continent, as demand failed to keep pace with increasing vessel supply. Some fixtures involved lengthy waiting periods at ports, undermining voyage economics. Without a surge in fresh requirements, pressure on rates is expected to persist.

• Mediterranean: The week started on a stronger note with fresh demand and tighter tonnage. However, as the days progressed, incoming cargo slowed while more ships ballasted from the north, reversing early gains. The market is likely to face further softening next week unless demand rebounds.

• South Africa (SAFR): SAFR traded sideways with no major surprises. A spike in cargo activity could easily tip the scale in favor of owners, but for now, stability prevails.

• Middle East Gulf / India (MEG/India): Two-speed dynamics were evident in this region. Front haul opportunities remained more attractive, particularly amid uncertainty surrounding USTR developments. Market players are watching closely, as future updates are likely to shape rate trajectories.

• Southeast Asia / Far East (SE Asia/FEast): The market continued its downward slide, particularly on the NOPAC run. However, healthy cargo availability ex-Indonesia led some owners to favor intra-Asia voyages. No major shifts are expected in the short term, though regional demand may offer some limited support.

 

 

Conclusion

While certain regions like ECSA and MEG showed moments of strength, oversupply and limited cargo activity continue to cap rate potential across both Handysize and Ultramax segments. As Easter week unfolds, trading may thin further. All eyes will be on post-holiday activity and whether it brings renewed opportunities—or more of the same.US Gulf / US East Coast (USG/USEC): In general, the market sailed without any significant turbulences. Both demand and supply were healthy, but the fixture volume was limited. Furthermore Chinese vessels preferred to ballast to the south. Wait market to remain active during the next week. 

 

 

 

Disclaimer

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