Market Report Week 31
The year’s 31st week was relatively positive for owners of larger tankers. The rates for both VLCC and Suezmax rose, while the Aframax rates experienced a minor fall. It is worth mentioning that Aframaxes still earns higher rates than Suezmaxes. The current rates for Aframax are significantly higher than the summer of 2017 and 2016. We are confident that another period of high earnings is ahead of us, and we are looking forward to the winter market.
Aframax 12 months T/C rates: $14.500 per day
Average spot market earning:: $13.200 per day
Baltic Dry Index rose 5,8% last week and closed at 1.773 points. Panamax rates dropped to $11.574, or 8,9%. The last couple of weeks have been profitable for the owners and it is normal with a minor correction in the aftermath. The demand is volatile on a weekly basis, hence volatile rates. The second half of the year has started on a positive note and the future is bright. Historically the second half is the better half in the freight market.
Capesize 12 months T/C rates: $22.250 per day
Panamax 12 months T/C rates: $13.000 per day
A relatively active week in the secondhand market, with transactions across tanker and bulker segments. Several smaller tankers changed hands, together with a VLCC.
In the dry bulk sector, a sale of 3 Capesizes were reported at healthy levels. A Kamsarmax from 2016 was sold for $30 million in an internal transaction within the Navios system. Hence, the price cannot be used as a benchmark.