Dry Bulk FFA: Capesize Market Faces Selling Frenzy
Capesize FFA Commentary:
Yesterday was a day of two very different halves in the paper market. In the morning session optimism was flowing as news of C5 fixing 10.50 circulated whilst talk of the index moving closer to the magic 30k number kept optimism at a high. The party however descended into a selling frenzy which defied logic and saw Dec plunge $2k below the high of the day whilst cal 18 was sold back down to 16k where it started with seemingly no explanation. Whether there was some physical news thats yet to emerge or old fashioned vertigo was to blame remains to be seen.
Panamax FFA Commentary:
We quickly picked up on last weeks firmer close with an early flurry seeing Dec and Q1 trading up to $13600 and $11650 respectively. However, despite another good index the current bull run seemed to be at an end as we began to come under pressure in the afternoon session, particularly as Capes crashed and some toppy talk prompted some closing out and profit taking. As a result we saw Dec and Q1 retrace to print lows of $12650 and $10900 respectively before finding some support.
Supramax FFA Commentary:
Supramax paper suffered a fall off the recent highs today as the market slipped right from the start. Dec opened the day trading $11500 and then traded down too $10900. Index was a little disappointing 10TC $3 and derived 6TC -$3. The Calendar 18 was stubborn to begin with but eventually was sold $10,100 and $10,000. Have a good evening.
Handysize FFA Commentary:
A quiet start to the handysize paper week with little report today.
Source: Freight Investor Services (FIS)