Weekly Dry Bulk Report May 30th 2014

Week 44
-Shipbrokers and consultants since 1919-
Weekly Dry Bulk Report
Week 22
HIGHLIGHTS
Capesize: Firming
rates throughout the
week in both basins
Panamax: Another
week of firming rates
in all sectors
CAPESIZE
May 30th
Bulk on an EPS vessel. Front
haul rates shot up from last
weeks closing Index, SwissMarine were reported to have
taken Sunrise (LDC relet) for a 5
-10
November
Tubarao/
Qingdao trip at US$22.7. Rates
saw another massive jump on
Tuesday up to a high of US$26/
During an active Monday, both
the paper market and physical
market kicked on from last
weeks positive gains. In the
Pacific there was plenty of activity on the West Australia/
Qingdao route with firming
rates throughout the week.
US$/day
BHP were particularly active 120,000
on Wednesday, taking as 100,000
many as six vessels for West
80,000
Australia/ Qingdao, in addition
to fixing a 165 000 +/-10% 60,000
Haypoint/ Qingdao for end 40,000
November dates. The level 20,000
reported was US$11.90/mt.
0
1
Saldanha Bay/Qingdao was
done at US$19/mt by Pacific
2014
mt for 10-20 November loading
in Tubarao. Rates were maintained on Wednesday for November cancelling, however
charterers bid for December
onwards show a sharp fall with
first
half
of
December
US$22.50. and second half at
US$21.50.
Capesize Timecharter Average (TCA)
4
7
10 13 16 19 22 25 28 31 34 37 40 43 46 49 52
5 Yr Low
5 Yr High
5 Yr Avg
2014 Ytd
Pacific, coal shipments re- short period activity included a
mained the driving force. A 74 vessel of 81 000 dwt from MusAnother week of firming rates 000 dwt ship was fixed at cat at US$10 500/day. The senin all sectors. In the Atlantic a US$14 000/day from Singapore timent remains bullish with a
83 000 dwt vessel was taken via Indonesia to India. Some likely further firming of rates.
for coal trans-Atlantic round at
Panamax Timecharter Average (TCA)
US$/day
US$10 750/day from Cape
50000
Passero. Short Baltic to Conti45000
40000
nent rates moved up with 83
35000
000 dwt vessel open in Luleaa
30000
25000
being paid US$11 850. Further
20000
south, a 74 000 dwt vessel
15000
10000
was taken from East Coast
5000
South America to the Far East
0
1 4 7 10 13 16 19 22 25 28 31 34 37 40 43 46 49 52
at US$13 750/day + a ballast
bonus of US$375 000. In the
5 year Low
5 year High
2014 ytd
5 year average
PANAMAX
L&S INDEX OF DRY
BULK STOCKS*
105
95
85
75
65
55
45
1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43
Week in 2014
*Basket of stocks for L&S Index includes: Golden Ocean Group Ltd., Western Bulk ASA, Scorpio Bulkers Inc., Paragon Shipping Inc., Baltic
Trading Ltd., Diana Shipping Inc., DryShips Inc., Safe Bulkers Inc., and Star Bulk Carriers Corp.
1
-Shipbrokers and consultants since 1919-
SUPRAMAX/HANDY
Handy/Supra: The
Baltic indices were
slightly down on
last week
On the Supra/Handy size we saw
the market this week a little flat
to the start. Towards mid week
activity picked up on some
routes, however the indices
were slightly down on the week.
In the Atlantic rates were relatively unchanged on last week.
Inter Mediterranean and front
haul routes out of the Black Sea
were showing a slight upward
trend. In the US Gulf front haul
remained unchanged on the
Supramax Timecharter Average (TCA)
US$/day
In the Pacific, North Pacific round
trips on the Supra sizes were
starting to go from an APS market to a DOP market with quite a
few stems coming open. Indonesia/India coal runs remained
pretty much unchanged.
45000
40000
35000
30000
25000
20000
15000
10000
5000
0
1
4
7 10 13 16 19 22 25 28 31 34 37 40 43 46 49 52
5 year Low
The Baltic Exchange Dry Index
Weekly Baltic Average BCI
Weekly Baltic Average BPI
Weekly Baltic Average BSI
Weekly Baltic Average BHI
Weekly BDI Average
FFA
Calendar 15 BCI
Calendar 15 BPI
Calendar 15 BSI
Bunker Prices
Rotterdam IFO 380
Rotterdam MGO
Singapore IFO 380
Singapore MGO
week, but we are seeing more
November stems coming up. As
we head into November a pick
up is expected to come. East
Coast South America remained
flat on the week.
5 year High
2014 ytd
Week
5 year average
Last Week This Week
12,657
22,483
8,393
9,476
9,517
9,370
7,254
7,004
1089
1383
Trend
Firming
Firming
Softening
Softening
Firming
(US$/day)
(US$/day)
(US$/day)
Last Week This Week
17,017
17,423
9,220
9,427
9,739
9,759
Trend
Firming
Firming
Firming
(US$/mt)
(US$/mt)
(US$/mt)
(US$/mt)
Last Week This Week
459
457
733
727
481
478
735
742
Trend
Softening
Softening
Softening
Firming
(US$/day)
(US$/day)
(US$/day)
(US$/day)
2
-Shipbrokers and consultants since 1919-
BCI FFA
US$/day
BCI-TCA
US$/day
28000
45000
40000
35000
30000
25000
20000
15000
10000
5000
0
26000
24000
22000
20000
18000
16000
14000
12000
1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43
Cal 15 5 TC
1
Week
7 10 13 16 19 22 25 28 31 34 37 40 43 46 49 52
2012
Cal 15 4 TC
14000
13000
12000
11000
10000
9000
8000
1
4
7 10 13 16 19 22 25 28 31 34 37 40 43 46 49 52
Week
2012
Cal 15
US$/day
Week
2014
18000
16000
14000
12000
10000
8000
6000
4000
2000
0
15000
1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43
2013
BPI-TCA
US$/day
BPI FFA
US$/day
4
BSI FFA
US$/day
2013
2014 ytd
Week
BSI-TCA
18000
15000
14000
16000
13000
14000
12000
12000
11000
10000
10000
8000
9000
6000
8000
1
1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43
Cal 15
4
Week
7 10 13 16 19 22 25 28 31 34 37 40 43 46 49 52
2012
2014 ytd
BHI-TCA
US$/day
13000
12000
11000
10000
9000
8000
7000
6000
5000
4000
1
4
7 10 13 16 19 22 25 28 31 34 37 40 43 46 49 52 Week
2012
3
2013
Week
2013
2014 ytd
-Shipbrokers and consultants since 1919-
Iron Ore
As a result of temporary
shutdowns of Chinese steel
mills to curb pollution during
the APC (Asia– Pacific Economic Cooperation) meeting
in Beijing next month, iron
ore futures fell for the second session this Tuesday. At
the end of the latest session,
benchmark iron ore for im- the expected seasonal remediate delivery to China stocking.
dropped 1 per cent from US$
78.80 to 79.60. The steel
production cuts are expected
to last for two to three
weeks. This will reduce the
demand for iron ore on a
short time basis and lower of
Coal
Coal: Ukrainian coal mining down 49 per cent in
September
Ukraine's
coal extraction
volumes fell by 13.2 per
cent January to September.
In September alone, Ukrainian coal mining was down 49
per cent. Due to fighting
between the government
and pro Russian separatists
half of the countries coal
mines have been shut down.
Since coal is Ukraine's key
energy source they are facing difficulties with coal supply this year. They now need
to import coal from other
destinations, and received
the first thermal coal cargo
from South Africa last week.
The Ministry of Environment
and urban affairs in Turkey
has received an application
to build a 1.96 GW plant
burning imported coal on
the southern shore of the
Sea of Marmara. A public
consultation meeting will be
held on November 18. The
plant will consist of two 980
MW units which will burn
5.6 million mt/year when
operating at full capacity. A
deep water discharge facility
will be built, capable of receiving bulk carriers og up
to 120-150 000 dwt. Suggested coal import sources
are Russia, South America,
South Africa and Australia.
Grain
Grain: US
wheat export
up 49 per cent w- o- w
The corn export licenses issued by the Government in
Argentine have reached
14.644 million mt since the
beginning of the 2014-15
marketing year. This is an
increase of 114 per cent y-oy.
4
Speculations that dry and
cold weather in Russia will
damage the crop for harvesting next year caused
wheat prices to rise for the
fourth day running. December delivery wheat rose 1.2
per cent to US$ 5.445 a bushel on the Chicago board.
Corn for delivery in December rose 1.1 per cent to US$
3.7925 a bushel.
Wheat export from the US
was up 49 per cent week on
week, with the most important export destinations
beeing Japan, Mexico and
Brazil. Exports for the 13/14
marketing
year
totaled
30.113 million mt, up 14 per
cent from the previous year.
-Shipbrokers and consultants since 1919-
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5