Ocean Freight Comments
Transportation and Export Report: Jay O’Neil, O’Neil Commodity Consulting: It was another week of mixed results in freight markets. Dry-bulk freight markets were generally higher, but not in all oceans or sectors. The Capesize market came off its highs and is now looking for support. A logistical imbalance created a tightness in vessel supply in the North Atlantic Panamax and Supramax markets. This in turn helped to support grain freight rates in the U.S. Gulf. But things will, of course, adjust and rebalance with time. Other physical markets were not a well-supported.
The Q3 market for Capesize vessels is now trading at close to $18,000/day, Panamax vessels at $11,400/day and Supramax vessels at $10,400/day. These are all lower than three weeks ago, but owners are hold out and hoping for a comeback.
