|
The
forward freight agreements (FFA) markets,
particularly for the capesize segment corrected
quite sharply overnight.
3Q
Capesize rates fell 32% in a day to $29,500/day
on heavy volume, bringing it in line with the
longer-dated contracts which are in the
US$27,000/day range. 3Q Panamax also fell 19% to
$19,860/day.
'The sharp backwardation of the forward curve
suggests that the current rally in the BDI will
likely be short-lived. It is worth noting that
the BCI (for capesize which has been the key
driver of the recent rally) is now at 8147, only
13% below last year's average level; and already
5% and 24% above its 3 year and 5 year
historical averages,' Citigroup wrote in a
research note.
Source:
SeaTradeAsia-Online
|
