The futures market has constantly been re-adjusting since the beginning of this year and forward freight agreements (FFAs) have been underestimating the underlying strength of the dry bulk market.
A fall in container freight rates is being driven by oversupply of vessels rather than a drop in demand according to analyst Crucial Perspectives.
Japan “big three” shipowner Mitsui OSK Lines (MOL) reported a half-year net profit of JPY13.1bn ($116.4m) down 18.3% from JPY16.1bn a year earlier.
The period of rate stability in container shipping that followed the bankruptcy of Hanjin Shipping is coming to an end according to analyst Alphaliner.
A "slow and steady recovery from the tough market conditions that characterised 2016" helped bring Orient Overseas (International), the parent group of Hong Kong-based Orient Overseas Container Line (OOCL) back to a $53.6m profit from a $56.7m net loss in the previous corresponding period.
The Suez Canal Authority has further extended rebates for containerships from ports of the East Coast of America heading to South and South East Asian ports.
UAE-headquartered OSV owner Topaz Energy & Marine reported a $3.3m loss in the first quarter as constant challenges in the Middle East and Africa regions remain.
While UMW Oil & Gas Corp (UMW-OG) will achieve full utilisation of its seven jack-up drilling rigs by the second half of this year, the oil and gas (O&G) service provider expects its earnings to remain under pressure due to subdued charter day rates, local reports said.
The dry bulk market was deemed to be in recovery but caution was still needed going forward especially in terms of newbuilding orders. This seemed to be the consensus of a panel of experts in the dry bulk industry at the Marine Money 10th Hong Kong Ship Finance Forum.