Global Macro Perspectives
As I wrote in Dry Bulk Weekly it appears that Chinese removal of steel export tax rebates is a complete game changer for the industry. The slowdown in Chinese iron ore imports is easing port congestion which tied approximately 20% of the world fleet a few weeks ago. The port congestion has since then eased by […]
Again down… Chart 1. Baltic Dry Index
Again down… Longest loosing streak in nine years. Chart 1. Baltic Dry Index
Baltic dry index fell 16.6% last week; The hardest hit were Panamaxes with 20.6% loss; Capesizes lost 20.0% ; Handysizes and Supramaxes lost 10.3% and 8.9%. Chinese tax rebates on hot-rolled coil and some cold-rolled coil and galvanized products will be removed starting July 15. This makes Chinese steel exports uncompetitive and it is moving the markets. Chinese steel […]
Again down… Brake-even for shipowners is around 2.200, so most of of the shipping companies are losing money at this levels. Chart 1. Baltic Dry Index
Another move to the downside. Chart 1. Baltic Dry Index
It just keeps going lower….if it continues for a just a couple days it will look as a rerun of a BDI performance as recession started. And we all know what happened than… Chart 1. Baltic Dry Index
From Metal Bulletin: Quarterly, spot or swap — which iron ore contract to choose? Tom Albanese’s admission that Rio Tinto may abandon quarterly iron ore pricing, should the majority of steel mills default to the spot market, could benefit the emerging market for over-the-counter iron ore swaps. Macquarie Research believes third quarter contract prices will be […]
Baltic dry index fell 8.8% last week; The hardest hit were Panamaxes with 19.6% loss; Supramaxes lost 6.0% ; Handysizes and Capesizes lost 5.4% and 3.3% . It looks like the Baltic Dry Index was not bottoming last week after all. Panamaxes which were more stable sector than the Capsize sector played catchup and collapsed. That was not […]
Bloomberg story: Baosteel Scales Back Expansion Target by 38% as China Seeks Capacity Curbs. China, the biggest steelmaking nation, has pulled back from encouraging mills to get as large as global leader ArcelorMittal as it sought to shutter old plants, curb pollution and power demand. Chinese steelmakers are likely to cut output in the third […]
Baltic dry index fell 7.2% last week; The hardest hit, again, were Capesizes with 13.3% loss; Supramaxes and Handysizes lost 4.9% and 5.2%; Panamaxes gained 2.2% . It looks the baltic dry index is bottoming. The action was in the capesize sector, so Chinese iron ore demand is the game as a consequence of reduced steel margins . Panamax […]
Looks like the markets similar like Belisarius exhibit lack of conviction. Maybe most interesting development is that Baltic Dry Index keeps falling lower and lover. Collapse here could serve as an advance indicator of China and commodity fall-down.. Chart 1. Baltic Dry Index Elsewhere not much happening, sort of contemplation surrounds the markets, and when we have nothing negative n the news-flow we move up on no […]
Baltic dry index fell 18.1% last week; The hardest hit, again, were Capesizes with 26.7% loss. Panamaxes lost 11.3% ; Supramaxes and Handysizes lost 7.4% and 6.5%. China and Taiwan were on holiday from Monday to Wednesday, seasonal weakness and new-buildings hitting the markets all contributed to the dry freight rates falling. Will we have more than a seasonal weakness remains to […]
Baltic dry index fell 14.5% last week; The hardest hit were Capesizes with 16.3% loss and Panamaxes with 13.3% loss; Supramaxes and Handysizes lost 12.1% and 6.5%. Platou Markets: Chinese iron ore imports fell to 51.9 mt in May from 55.3 mt in April. After being up 11.7% for the first four months of the year, […]
Baltic dry index fell 5.7% last week; The hardest hit sectors was Panamaxes with 8.7% loss and Supramaxes with 8.1% loss; Capesizes and Handysizes lost 2.1% and 3.5%. Expectations running high, stockpiles high, financial crisis threatening to cause a economic crisis. Iron ore prices sliding. It looks the things are slowing down in China. On the other hand ship prises rose […]