Ocean Freight Comments
Transportation and Export Report: Jay O’Neil, O’Neil Commodity Consulting: It was not a happy week for vessel owners as rates continued to retreat. The outlook is indeed gloomy as traders worry about inflation, further lockdowns in China, and a potential global recession with reduced Chinese raw material imports. Though down substantially from last week, vessel daily hire rates did find buyer support Thursday at lower levels. Panamax FFA paper for Q3 traded down to $17,000 and then bumped up to $17,400 with Q4 at $17,500.
There have been recent news articles indicating political optimism regarding the ILWU West Coast Port labor negotiation; but no final deal is in place yet and negotiations are continuing.
