Dry bulk market keeps gains, but demand seen modest say analysts
The dry bulk market has been on the upside so far into the week, with the Baltic Dry Index (BDI) rising once more yesterday to reach 1,281 points, up by 1.51% on the day. The leader of the day, in terms of gains, was the “forgotten” Capesize market,
which was up by 1.75%, but still lagging from both the Supramax and the Panamax segments. According to Fearnley’s latest report, commenting on the Capesize market, “two months into 2011 and we see the full effect of the sad reality describing the cape market. Last week bunker prices made a big jump, resulting in slightly improved rates but even more ships at anchor. West Australia round is presently between USD 6.50 and 7 pmt, whilst fronthaul remaining steady around low USD 18. A lack of cargoes around and more tonnage coming sugesting the present poor mkt to continue for some time” said the shipbroker.
Meanwhile, according to the market outlook described by Hellenic shipping company Goldenport Holdings Inc, which yesterday reported its financial results, “for 2011 dry bulk shipping capacity is expected to grow at an accelerated pace (especially in the larger vessel sizes) despite potential delays and cancellations of up to one third of the new-building vessels on order. Whilst the supply side of the dry-bulk sector will show a large increase, so should demand. About 50% of the total seaborne dry bulk trade is connected with the steel industry (iron ore, coking coal, steel products, scrap, etc). In 2010, global steel production increased by 15% reaching a new all time high record of 1.4 billion tons. For 2011 global steel production is set to continue to grow by at least another 100 million tons with demand from Asian countries leading the way.
Читать более подробно: http://www.hellenicshippingnews.com/index.php?option=com_content&view=article&id=10879:dry-bulk-market-keeps-gains-but-demand-seen-modest-say-analysts&catid=45:top-story-a&Itemid=105