Freight rates are expected to be flat or weak this week

2-exclusive

The daily average earnings for Supramax, for the route Indonesia to India passing through Singapore has stayed firm, week over week, owners were rating at around US$ 8,000 –  8,500 per day, while the Panamax vessels were rated at around $ 10,000 to 10,500 per day delivery Shanghai area, says Vistaar Shipping Services India.

The freight market was continued soften in all segments week over week.

The Baltic Exchange, tracking rates for ships carrying dry bulk commodities decline this past week and ending on a negative note week over week. The BDI was down by 6.71% from the last week and Panamax Index was down 3.71% or decreased 52 points in a week.

The Baltic Dry Index (BDI) of dry-bulk shipping freights, a measure of global supply and demand for shipping of commodities was reported an decrease of 6.71% week over week and ended at 1279 points on 12 January 2018. The index peaked at 11,793 points in May 2008.

The Cape Index was down by 17.73% week over week. The BCI decreased 495 points to 2296 on 12 January 2018.

The Supramax index (BSI) was up 2.6% this past week to 907 points on 12 January 2018, compared to 884 points a week ago. The handy size index was slightly down, and the index was closed at 587 points decreased 2.17% week over week.

Vistaar noted in its report that the futures for three years (2018-2020) for the ships were reported slightly higher than or similar to the current spot rates that ships were earning. The Cape-size ships were at US$ 17000 per day, the Panamax at US$ 10,500 per day, Supramax at US$ 10,500 per day and Handy size at US$ 8250 per day.

According to Vistaar, the freight rates are expected to be flat to weak this week.

The Brent crude oil price was closed at $69.87 per barrel 3.33% higher than the same period last week.

According to ship & bunker, the bunker prices were closed at $392.50 pmt (IFO 380 CST ex. Singapore on 12 January 2018). IFO 380 Prices down 0.25% week over week, up 4.94% month over month and up 15.95% year on year.

Source: VISTAAR SHIPPING