Ocean Freight Comments
Transportation and Export Report: Jay O’Neil, O’Neil Commodity Consulting: Global freight markets have not significantly changed in the last 14 days. The Capesize market managed a small rally last week but could not hold gains and has since fallen back to nearly unchanged. Panamax vessel markets followed the same scenario. There are only 15 more trading days left in 2020 and freight markets already seem to be concentrating more on the holidays than trading.
Panamax FFA paper markets traded down to $10,400 for December and just under $8,000 for Q1 2021. Freight for calendar years 2022 and 2023 traded at $9,550 and $9,100, respectively, in light-volume trade.
Container logistics continue to be problematic and will likely remain so through Q1 2021. Containerized grain shippers are expecting to see additional GRI’s of $200-400 per container over the next 2-5 weeks.
