Capesize Market
The Capesize market saw a generally softer week, with the 5TC dropping to $6,733 by Thursday, before slightly recovering to $6,964 by the end of the week. The Pacific showed signs of strength early on, driven by healthy cargo flows and tightening tonnage. However, reported fixtures struggled to push rates higher. The C5 index remained steady in the upper $6,000s, closing the week at $6,717. In the Atlantic, the North continued to face oversupply, particularly on transatlantic routes, where limited cargo led to sharp declines. The C8 index fell to $4,257 midweek. A slight uptick in Fronthaul activity helped support the C9 index, which held steady in the low $25,000s. Conditions from South Brazil and West Africa to China remained subdued, with bids and offers hovering around the high $16,000s to low $17,000s. Despite midweek positivity in the Pacific, the overall sentiment remained weak.
Panamax Market
The Panamax sector showed resilience despite mixed market signals and a volatile FFA market. Transatlantic volume remained thin, but positive sentiment emerged from stronger fronthaul rates. Midweek, South America became the market’s driving force, with the March arrival window absorbing several vessels at firmer rates compared to the discounted February levels. Notably, well-described units secured firmer rates, including a headline rate of $13,000 for delivery in Singapore with various load options to EC South America/US Gulf and NC South America to the Far East. South positions in the Pacific basin also saw positive movement, despite limited demand from Indonesia and Australia. NoPac rates remained supported, with a 82,000-dwt securing $10,500 for a round trip from Japan. Period activity was quiet, but reports indicated a 85,000-dwt vessel fixed for a one-year period at $14,000.
Ultramax/Supramax Market
With the conclusion of the Lunar New Year holidays, the Ultramax/Supramax sector experienced an uptick in activity. In the Atlantic, stronger numbers were reported, such as a 63,000-dwt vessel fixed for a fronthaul from EC South America in the mid $11,000s, along with a mid $100,000 ballast bonus. Additionally, a 58,000-dwt was fixed for a trip from SW Pass to Buenaventura at $13,100. In Asia, renewed interest helped push rates higher, with a 53,000-dwt fixed for a trip from North China to Bangladesh at $9,000. Further south, a 55,000-dwt secured $8,500 for a trip from Singapore to China, with an option to redeliver to SE Asia at $8,000. In the Indian Ocean, a 64,000-dwt fixed for a trip via Indonesia from Chittagong to WC India at $7,000. Period interest also emerged, with a 63,000-dwt open in Germany securing $12,250 for 4-6 months of trading with worldwide redelivery.
Handysize Market
The Handysize market displayed mixed performance this week, with slight movements in both basins. The Continent and Mediterranean regions saw some positive momentum, with rates edging slightly higher. A 37,000-dwt vessel was fixed for delivery from Skaw via Riga to redeliver to Morocco with grains at $8,250. The South Atlantic also showed improvement, with new requirements tightening tonnage availability, prompting owners to raise their offers. A 35,000-dwt open in Puerto Montt was fixed for delivery to Recalada via upriver with redelivery to WC South America at $13,000. On the other hand, the U.S. Gulf market remained subdued, with signs of weakening support. A 38,000-dwt vessel was placed on subjects for SW Pass to redeliver to West Coast Central America at $10,250. In Asia, the market started on a positive note, with healthy cargo volumes. A 40,000-dwt was fixed for delivery from Yeosu to redeliver to Mumbai with steel coils at $7,750.
