Capesize freight rates continued to slide on the volatile market, though some felt the market would soon bottoming out in the subdued physical market.
The Capesize 5 time charter average, then dropped by $234 day-on-day to $21,596 on Thursday, after some market selloff sessions.
The Baltic Dry Index (BDI) also decreased slightly by $3 day-on-day, or down 0.12% day-on-day, to $2,588, due to softening freight rates.
More weather concerns over Chinese ports
Freight rates were supported by the healthy Pacific market, while the bad weather off China provided some slight gains, though there was growing concerns over delays and port congestion as the virus outbreak took its toll.
Some market participants feared more lockdowns among the Chinese cities and ports that will delay shipments, as China still maintains its zero-tolerance policy toward the pandemic.
However, the renewed interest in moving coal had kept vessels in the Pacific market, rather than for shipowners ballasting them toward the Atlantic basin.
Bunker prices correct further on crude weakness
The bunker prices corrected further due to the volatile crude market, as the price of VLSFO dropped by $24/mt to $801.50/mt in the port of Singapore.
Bunker buyers were cautious in procurement, given the recent price volatility, while some buyers expected that the market had yet to bottom out yet.
Besides, there was still some supply disruption from the ongoing Russia-Ukraine conflict, though most shipping routes were business as usual except for Black Sea trade routes.