Capesize rates continued to rally as shipping demand improved in both the Pacific and Atlantic basins. Therefore, the Capesize 5 time charter average increased by $1,734 day-on-day to $12,410 on Friday, after strong afternoon session that pushed out of the tight trading seen in the morning session. This prompted the Baltic Dry Index to push …
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Oil benchmarks fall on virus resurgence fears
Oil benchmarks fell about 8% last week, their first weekly declines since April, as U.S. Coronavirus cases started increasing. Over the weekend, more than 25,000 new U.S. cases were reported on Saturday alone as more states reported record new infections and hospitalizations. A cluster of infections in Beijing has increased concern of a …
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Oil Through the Looking Glass 15/6/20
Continuation of the Crude Slump The week losses have extended into the new week as new virus infections hit China, Japan and the United States. This raises concerns of people in the market on the return of normal demand that had previously raised sentiment at the easing of lockdown. In the US the cutting of …
Iron Ore—RSI Divergence in Play
Oil Through the Looking Glass 12/6/20
Resurgence of the Virus The virus is making a comeback in the United States as the number of infections rose past the 2 million mark. This has focused minds in the market on the worry of a second wave which is pushing oil contracts to their first weekly decline in seven weeks. Asian Gasoil Cracks …
Capesize rates back to $10,000 level
Capesize rates were back to the $10,000 level again, on the back of robust shipping demand in both basins. Thus, the Capesize 5 time charter average rose by $1,534 day-on-day to $10,676 on Thursday, continuing the bullish run since the start of the week. Follow in the bullish run, the Baltic Dry Index (BDI) soared …
DCE rallies on record-low port inventory
Chinese futures closed the week on positive note after a rally at afternoon session as China’s port inventory dropped to the lowest level in four years. Thus, the most-actively traded iron ore futures on the Dalian Commodity Exchange (DCE), for September delivery, rose by 1.90% day-on-day to RMB 777 per tonne on Friday. The steel …
Crude extends losses on ‘second wave’ fears
The crude market extended losses overnight as a surge in U.S. Coronavirus cases this week raised the prospect of a second wave of the COVID-19 outbreak hitting demand in the world’s biggest consumer of crude and fuel. Traders are concerned about signs that Coronavirus cases in the U.S. are continuing to rise and topped …
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Panamax futures remain buoyant on China soybean purchases
Panamax futures remained buoyant this week as China continued to buy US Soybeans, despite increased political tensions over Hong Kong. The Q4 futures rallied 5.5% on Wednesday as the world’s second largest economy was revealed as purchasing 10 cargoes of soybeans this month from the U.S. alone, according to Bloomberg. China needs beans and remains …
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DCE flattens amid rainy season
Chinese futures remained almost flat on limited market activity as buyers prepared for lower steel demand during rainy season. As such, the most-actively traded iron ore futures on the Dalian Commodity Exchange (DCE), for September delivery, dipped slightly by 0.59% day-on-day to RMB 759 per tonne on Thursday. Similarly, there was not much movement in …