The revival of cargo flows out of East Coast South America (ECSA) after a lull period resulted in an improved BDI w-o-w. Tighter tonnage supply in the North Atlantic region and exports out of Australia and Indonesia into China provided some support to the Pacific basin as well. The overall positive sentiment was reflected in improved ballast premiums and re-emergence of period trading.  The rate for a round voyage for an KMAX opening in the Japan-Korea range to the North Pacific region was around the mid $7,000s/day range.

An active Pacific market due to a shrivelled tonnage list in the region caused the PMAX market to tick higher w-o-w. PMAX vessels on a DOP basis opening in North China heading from Australia to China and Australia to India were around the low $6,000s/day and high $6,000s/day range. Production curbs in Inner Mongolia, coupled with restocking efforts by coastal utilities to meet the peak summer power demand, have resulted in increased thermal coal flows out of Indonesia into China. A PMAX vessel on a DOP basis opening in South China heading from Indonesia to China was rated around the mid $6,000s/day range. 

Although the increase in rates in the SMAX market was not as much as that of the PMAX market, increased business out of ECSA and fresh orders in the Southeast Asian seas did offer a ray of light. NOPAC business was quiet compared to the previous week. A Pacific round voyage for a SMAX vessel on a DOP basis opening in the CJK area achieved about high $6,000s/day. Steel trades weren’t that active either, as trips to West Coast India from Korea basis North China delivery for a SMAX paid around high $6,000s/day and mid $3,000s/day to SKAW-CONT from Korea basis CJK delivery.

Increased coal demand from China caused time-charter rates to spike w-o-w.  A SMAX vessel for coal on a DOP basis opening in the Singapore range heading from Indonesia to China was in the high $5,000s/day range. Nickel-ore flows were steady - a 56,000-dwt 2011-built was fixed to move nickel ore from the Philippines to China at $7,500 delivery south China. The Indians weren’t far behind as demand for coal out of Indonesia was much higher compared to the previous weeks. SMAX vessels for coal on a DOP basis opening in Singapore heading from Indonesia to India are being rated in the mid $7,000s/day range. 

The market in the Indian Ocean started to find some support as owners decided to ballast to ECSA. Though real demand did not increase, the market was stronger w-o-w. SMAX vessels on a DOP basis opening in ECI/WCI for the RBCT to India coal route are in the low $5,000s/day range, while the PG to India route is currently around the low $6,000s/day range. PMAX vessels on a DOP basis opening in ECI/WCI doing the RBCT to India route are around the low $6,000s/day range.