14 October 2012
As we are heading into Q4 our thoughts go back to the strong days during the end of last year. In spite of a recent strong return of Chinese iron ore imports, history is unlikely to repeat itself. Freight rates have been on the slide since mid-Summer and only Capes have resisted consistent erosion.
16 August 2012
The summer lull in the freight market is soon to be over as we enter into the seasonally-stronger final five months of the year. Hopefully, this will bring around higher earnings, but the outlook is unlikely to support a joyride similar to that of last year. The Baltic Dry Index (BDI) currently stands at 843 (August 6), a level which is 53% below the average of the final five months of 2011.
10 December 2012
Last year, US coal exports seized all the headlines as they were up by 31%, showing the flexibility of the producers to seek overseas opportunities as higher gas production, followed by lower gas prices, turned the tables in the domestic US market.
04 December 2012
China’s continued hunger for iron ore for its steel-making industry, alongside coal imports, is expected to become stronger in 2013.
14 February 2012
All eyes have been on the BDI and Capesize earnings during December and January trading – but for many different reasons. While staying in very comfortable zones during December 2011, the turn of the year not only meant a new year was coming around but also that old challenges are back with a vengeance.
18 January 2012
The world needs daring and decisive political leadership, especially in the EU and the US, for confidence and optimism to find its way to the consumers. Unfortunately, the political stalemate in the US continued throughout 2011
13 June 2012
The recent optimism has fortunately not completely evaporated following the latest series of less positive economic indicators from across the globe, including India, the US, Brazil and Spain. The EU debt situation creates a lot of uncertainty, not only as regards economic development but also regarding the political situation on both sides of the Atlantic Basin.
13 June 2012
The dry bulk market is under immense pressure, as the retreating weight of China as the driver of the market is extensively felt. At a time when supply growth simply breaks new mind-blowing delivery records, the demand situation is pitching in a bit too. Currently, there are reports of Chinese customers in the steel industry that are refusing to honour their contract as prices drop, and stock piles are fuller than normal at a time when steel mills take their foot off the throttle following a red-hot production period in recent months.
15 August 2011
Overall dry bulk demand is developing in a disappointing way. By the beginning of the year, overall demand was forecast by
21 June 2011
The healthy demand picture of some 6% demand growth is what keeps the dry bulkers afloat. Despite the multiple disruptions that have already taken place, we see growing demand for almost all commodities. This has certainly prevented a meltdown of freight rates. Many people expected the current doldrums already last year, but extremely strong demand growth in 2010 postponed the hardship into 2011.