Supramax Bulkers Continue Upwards Trend

Strength in the Pacific for coal and nickel ore movements sees 3.3% gain in average time charter earnings in the week to more than $9,000 per day

News ID: 75222

Date: 26 July 2017 - 11:40

According to MANA, “Indonesia coal remains the driving force, with nickel ore stems and an active Australian west coast keeping tonnage lists tight,” Braemar ACM said in a note.

According to Clarksons, the positive sentiment in the basin was also due to “fresh steel cargoes entering the market, which helped to absorb available tonnage”.

Activity out of the Black Sea region and the Mediterranean had also picked up, it added.

The average weighted time charter on the Baltic Exchange was up to $9,250 per day at the close on Tuesday, the highest level since May 3, while the Supramax Index moved up 27 points to settle at 813 points.

About 15 trades were concluded in the spot market, according to Clarksons, the highest at $16,000 per day from Argentina to Italy, and the lowest at $5,000 per day from Morocco to the east coast of Mexico.

Two of the fixtures included cargoes of nickel ore moving from the Philippines to China, at $10,000 per day and $10,500 per day, while a sugar load from Brazil to the Mediterranean was seen at $14,500 per day, Clarksons data showed.

Two period charters for four to six months were inked in the week, at $8,250 per day and $10,500 per day, according to Clarksons.

Meanwhile, ultramax- and kamsarmax-focused US-listed dry bulk owner Scorpio Bulkers said it had reinstated its loan repayments to certain lenders. This was a sign that the worst was over in the sector, with Scorpio reporting a drop in its net loss for the second quarter versus a year earlier.