Imarex 16th October 2008

Technorati Tags: Baltic Dry Index,Baltic Dry Indices,Ship Chartering,Shipchartering,Voyage Fixtures,Time Charter Fixtures,Panamax,Capesize,Handymax,Handysize,Supramax,Dry Cargo Fixtures,Bulk Cargo Fixtures,Baltic Exchange,Freight Review,Maritime Baltic Index,Maritime Industry,Maritime,Freight Forward Agreements,FFA

 

Dry Bulk
BDI 1506 down 109
BCI 1842 down 150
BPI 1186 down 123
BSI 1254 down 40
BHSI 771 down 52
Market reports contain the phrases “fear factor”, “free fall”, and “what time does the pub open?”. No good news to report – except that there is always a pub open somewhere. The report of Capes being laid up is of course seen as bad news – although it is part of the self-correcting mechanism that shipping markets – and most all markets – possess. Scrapping and slow steaming are other ways to minimize the pain – but we still need more demand. Long haul demand if at all possible.

Dry Bulk FFAs
Contract Close Current Diff
======================================
BDI Oct 2100 2050 - 50
BDI Q4 2000 1850 - 150
BDI Q1 2375 2250 - 125
CS4 Q4 $19,042 $17,500 - $1542
CS4 Cal 09 $ 24,891 $23,000 - $1891
PM4 Q4 $13,863 $13,000 - $863
PM4 Cal 09 $17,031 $16,000 - $1031
SM6 Q4 $14,751 $13,750 - $1001
Thin volumes. One of these days these numbers will show promise – though today is not that day. More
reports of falling ore prices and declining demand for steel can be readily found. Until that changes – I
don’t expect to see the futures shine any uplifting light on the sector.