It was another short trading week for the Capesize market in view of the South Korean public holidays.
Thus, the Capesize 5 time charter average slipped down slightly by $16 day-on-day to $19,900 on Monday, as the paper traded at very narrow range with thin volumes.
Despite the flattish Capesize market, the Baltic Dry Index (BDI) inched up slightly by 0.19% or 3 points day-on-day to 1,598 readings on Monday.
Quiet market amid short trading week
There was some healthy cargo list in the Pacific market but only mining major, Rio Tinto came forward in seeking vessels for the key west Australia to China route.
Rio Tinto was heard to fix some Capesize vessels done at around $8.20/wmt from Dampier to Qingdao for early-September laycans, down almost 20 cents/wmt from rates assessed at Aug 14.
Meanwhile, there was little fresh activity in the Atlantic market, with depressed freight rates due to lengthy tonnage list. However, Vale was heard to fix a Newcastlemax ship for the key Brazil to China route for late August laycan at around $16.95/wmt.
Bunker prices slip due to lower global bunker demand
VLSFO prices dipped slightly by $0.50/mt to $351/mt for the port of Singapore, following weaker global bunker sales.
For instance, Panama Maritime Authority reported lower bunker demand at 337,035 mt, down 30% year-on-year in July. However, its VLSFO sales rose by 13.1% month-on-month to 258,429 mt in July.
So far, the global bunker demand was in decline due to the many strict lockdown measures imposed by ports to curb the spread of coronavirus pandemic.