Capesize rates gained slightly despite holidays across Europe that took off several players out of the market.
Despite of thin trading, the Capesize 5 time charter average hiked by $279 to $3,648 on Monday, without any noticeable change in the physical market.
In the meantime, the Baltic Dry Index (BDI) had gained steadily to 520 points on Monday, up 16 day-on-day, after bottoming out of low reading from mid-May.
Healthy Pacific market but subdued Atlantic market
There were still healthy cargo volumes in the Pacific market with major miners seeking vessels for the key west coast Australia to Qingdao route.
As such, Rio Tinto and Roy Hill were heard to be active in the market for fixing vessels for the early to mid-June laycan.
Thus, the indicative freight heard on the west coast Australia to Qingdao route was in the $4.20/wmt-$4.40/wmt range.
On the contrary, Atlantic market came under pressure especially on the key Brazil-to-China route, while some improvement was seen in the Canada to China route.
Market participants were worried about potential supply outages in Brazilian iron ore shipment in view of rising coronavirus cases in the country.
Singapore VLSFO surges to a ten-week high
Bunker prices rebounded on stable crude prices as the VLSFO price hiked by $28.50 to $293/mt at the port of Singapore.
The jump of bunker prices was a ten-week high since March 20, as Brent crude prices rose toward at $40 per barrel, while the WTI also hiked toward $36 per barrel.
The strong crude price movement was attributed to market speculation of OPEC + to extend output cut till end of this year, as they meet this coming Thursday.