Market sentiment for Capesize rates saw an improvement after Vale’s announcement to restart Brucutu mine, bringing back around 30 million mt per year of iron ore to the market.
The lack of fresh cargoes across Australia and Brazil has kept Capesize rates low and fundamentals weak.
IMO 2020 continues to dominate discussions in shipping the annual Capital Link conference in New York this week was no exception providing a variety of perspectives from across different sectors of shipping even if there an acknowledgement that “nobody knows” precisely what will happen.
Hamburg Süd has closed the sale of its dry bulk business to China Navigation Company (CNCo, part of the Swire Group.
Danish shipowner Norden is continuing on a course to become increasingly asset light selling off four bulkers.
Chinese dry bulk shipping company Sinotrans & CSC Phoenix sold its 28% stake in Chongqing Xingang Changlong Logistics Company to bolster cashflow.
Capesize market remained quiet throughout the week with thin activities from the Asia-Pacific and Atlantic regions.
It was the usual time of the year again, when the market takes a break for the Lunar New Year celebration for the week, but it was also rocked by the unfolding events from Vale’s dam collapse incident, which could greatly impact on seaborne iron ore supply.
Freight rate opened the week on weaker market fundamentals with concern over the China’s economic slowdown and the softening Panamax market. These left the Capesize market with little trading activities and saw a standoff as ship owners offering high, while the charterers bidding low.