Capesize freight rates continued to drop on thin liquidity, amid the vessel oversupply and low seasonal demand market.

The Capesize 5 time charter average, then fell by $455 day-on-day to $6,935 on Monday, due to the limited shipping activities.

The Baltic Dry Index (BDI) also dipped by $24, down 1.70% day-on-day, to $1,391, due to weakening freight rates.

 

Growing tonnage list and slow market activity ahead of Winter Olympic

Freight rates continued to slide on the oversupplied market amid seasonal soft demand season with market uncertainty on adverse weather conditions in Australia and Brazil.

According to Platts, the ballasting tonnage list had risen in Brazil for February dates which kept freight rates lows amid thin demand in the Atlantic market.

Meanwhile, the Pacific market saw better cargo demand especially among miners in western Australian, though wet season remained a concern with market chatter of possible flood in southern Australia.

 

Bunker prices rebound from dip

The bunker prices rebounded from recent losses, as the price of VLSFO went up by $3.00/mt to $690.50/mt in the port of Singapore.

The price upticks of VLSFO were due to tight supply at the bunkering hub of Singapore with lead time of around 10 days, according to trade sources.

Meanwhile, crude oil prices remained firm due to geopolitical tension between Russia and Ukraine, which might send further price upticks if any military conflict broke out.

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