Weekly Freight Recap: 23/05/24
May 23, 2024
PANAMAX
Atlantic: Activity in the North Atlantic decreased as most recent cargoes were covered, leading to potential downward rate adjustments. The trans-Atlantic market weakened due to a lack of freight, causing fronthaul rates to drift. In the South Atlantic, vessel counts rose, and South American rates picked up for late June arrivals, supported by strong FFA figures. Despite a slow start post-holidays, the East Coast South America (ECSA) showed resilience with stable volumes and decent demand projected from mid-May. Overall market sentiment is firm, with expectations for higher averages in Q3.
Pacific: The market showed signs of weakening, mainly from Indonesia, due to a seasonal decline in coal demand. Despite a stable tonnage count, a lack of bids created uncertainty about the market value. Rates for longer routes improved due to steady business from Australia, with some achieving higher rates. The overall sentiment in the Pacific remains mixed, reflecting firmness in certain areas and uncertainty in others.
SUPRAMAX
Atlantic: Negative trends were observed across most segments, with rates falling sharply for vessels in the North Continent, Mediterranean, and US Gulf due to a lack of fresh volume. The trans-Atlantic sector continued to struggle, needing more fresh enquiry to support rates. In the ECSA, resistance was noted with fixture volumes for trips both East and within the Atlantic, though bids were reported to be substantially lower than previous rates. Specific fixtures included trips from Brazil to the East Mediterranean and Southeast Asia, with rates indicating a challenging market.
Pacific: The Asian market held a positive trend, with rates higher than in the Atlantic. Ultramax and Supramax vessels saw healthy fixing activity with good cargo flow, mainly from Indonesia and Southeast Asia. Rates for trips via Indonesia to Southeast Asia remained strong, with owners asking for higher rates. Despite falling indexes, demand for trips from the North Pacific and Australia remained robust, with some achieving notably high rates.
HANDYSIZE
Atlantic: Pressure mounted on prompt tonnage with limited fresh enquiry in the Continent and Mediterranean. Stability prevailed, but potential rate adjustments were noted as activity slowed in the South Atlantic. Some owners showed reluctance to reduce levels further, with more cargoes emerging from the River Plate and Southern Brazil offering hope for near-term improvements. The US Gulf struggled with restricted fresh enquiry, leading to muted activity and steady rates.
Pacific: Positivity remained evident with a steady flow of fresh enquiry across all loading regions. Owners continued to see slight gains, indicating a relatively stable Asian market. Activity was muted due to holidays, but overall numbers remained steady, reflecting ongoing stability and resilience. The market maintained its position, with a healthy level of enquiries and some rate improvements noted.
Weekly Recaps
Freight
Freight Recap:
05/06/25
Jun 05, 2025
The Panamax Atlantic market showed signs of a strong rebound, especially in both the North and South where firmer bids and tightening tonnage contributed to rising sentiment. Fixtures suggested that some charterers may have overplayed their hand, triggering a jump in rates
Commodities
Agri- Commodities:
26–30 /5/25 Agri
Jun 02, 2025
Monday opened quietly in Europe as U.S. markets remained closed for Memorial Day. MATIF wheat traded lower in thin volumes, but losses were limited by concerns over dry conditions in France and rising temperatures in Russia. The May JRC MARS Bulletin painted a mixed EU crop outlook, nudging soft wheat yield estimates slightly higher but trimming rapeseed expectations. Meanwhile, geopolitical noise grew louder with President Trump mulling new sanctions against Russia, and Germany lifting range restrictions on Ukrainian strikes using Western weapons.
Freight
Freight Recap:
29/05/25
May 29, 2025
The Atlantic market struggled with weak sentiment throughout the week. Following recent holidays, demand remained soft and fresh cargoes were limited, particularly in the North. In the South, while some fixing activity was noted, oversupply of ships continued to weigh heavily on rates. Owners faced increasing pressure as charterers held firm, and some vessels were reported fixing below last done.
Commodities
Agri- Commodities:
19-23/5/25 Agri
May 26, 2025
Grain markets exhibited volatility throughout Week 21, with wheat prices leading a mid-week rally before easing slightly into the weekend. Early in the week, MATIF milling wheat weakened in response to Saudi Arabia’s tender, which confirmed continued preference for competitively priced Black Sea wheat. Meanwhile, CBOT futures found strength, buoyed by a broader risk-on sentiment in financial markets after a brief dip following Moody’s downgrade of the U.S. credit rating. U.S. corn inspections came in strong, and planting progress remained well ahead of the five-year average, though winter wheat conditions unexpectedly declined. On the geopolitical front, markets briefly reacted to the news of prospective ceasefire talks between Ukraine and Russia, although subsequent clarifications tempered expectations.
