Asia Dry Bulk-Capesize rates to fall on chartering drought

jueves 9 de octubre de 2014 04:14 GYT

By Keith Wallis

SINGAPORE Oct 9 (Reuters) - Rates for capesize bulk carriers on key Asian routes could continue to fall next week in the absence of major charterers although lower freight rates could tempt top iron ore miners back into the market and potentially buoy rates, brokers said.

Charterers, including Vale, BHP Billiton and Fortescue Metals, kept out of the market on Thursday, shipbrokers said.

"Without the likes of Vale and Rio Tinto in the market, rates are not going to rise. There are still plenty of ships available for October loading," said a Singapore-based capesize broker.

There have been just two capesize fixtures from Brazil to China since last Thursday, both contracted by operators rather than miners, Reuters shipping data showed.

"Fixing activity is limited to the operators rather than the miners. Unless we see a significant increase in activity on this long duration business, it is difficult to be optimistic about a quarter four rebound," said Norwegian broker Fearnley in its weekly market report on Wednesday.

Time charter rates for a voyage from Australia to China are around $9,000 per day, close to ship operating costs of about $7,000 per day, the broker said.

"I would have thought there would have been a bit of resistance at these rates from owners," the broker said.

But charterers can afford to stay out of the market until at least early next week on expectation rates would fall further, the broker added.   Continuación...