Clean
LR2
MEG LR2s showed positive signs of recovery this week with increased activity. The TC1 75kt MEG/Japan index ticked up 6.11 points to WS130 and TC20 90kt MEG/UK-Continent assessments remained around the $3.3m level.
West of Suez, Mediterranean/East LR2s of TC15 held around the $2.85m level it reached last week.
LR1
MEG LR1s have been seemingly not quite as active as their larger counterparts this week. The TC5 55kt MEG/Japan index subsequently came down modest 3.75 points to WS134.69. A voyage west on TC8 65kt MEG/UK-Continent dipped from $2.73m to $2.67m.
On the UK- Continent LR1s have been lacklustre this week. The TC16 60kt ARA/West Africa index dropped from WS123.61 to WS113.33.
MR
MRs in the MEG peaked early in the week, the TC17 35kt MEG/East Africa index topped out in the low WS220s, it has since dropped back down WS211.79.
UK-Continent MRs freight rates have been chipped away at across the course of last 5 days. The TC2 index 37kt ARA/US-Atlantic coast has dropped from WS152.5 to WS135. Assessed at this level the Baltic description round trip TCE for the run is about $13,500 /day. The TC19 run of 37kt ARA/West Africa followed suit of the TC2 with the index currently marked at WS157.81 which is $19,216/day Baltic round trip TCE.
In the USG, MRs look to have bottomed out for the moment with slower activity having a negative effect on freight levels. TC14 38kt US-Gulf/UK-Continent went from WS90 to WS85. The TC18 the 38kt US Gulf/Brazil index lost 7.85 points to WS137.86 and a Caribbean run on TC21, 38kt US-Gulf/Caribbean, dropped $35,715 to $403.571.
Handymax
Baltic Clean Handymax routes diverged this week. In the Mediterranean, the TC6 index had a late week boost jumping 33.33 points to WS181.11. Up on the UK-Continent the TC23 30kt Cross UK-Continent on the other hand dropped from WS199.44 to WS178.33.
VLCC
The market remained steady on the VLCCs this week, with the exception of the US Gulf to China route (TD22). The 270,000 mt Middle East Gulf to China trip (TD3C) remained around last week’s levels being assessed on Thursday at WS57.10 corresponding to a round-trip TCE of $38,342 which is $1,000 more than a week ago.
In the Atlantic market, the rate for 260,000 mt West Africa/China (TD15) slipped a single point to WS58.50 giving a round voyage TCE of $40,633 per day, an increase of about $500 per day week-on-week. The rate however for 270,000 mt US Gulf/China (TD22) collapsed $767,500 over the week and is now at $7,280,000, which shows a daily round trip TCE of $36,497 (about $4,700 per day less than a week ago).
Suezmax
Suezmax owners have tried to pull rates back up this week. The rate for the 130,000 mt Nigeria/UK Continent voyage (TD20) rose 2.5 points to WS87.83 meaning a daily round-trip TCE of $36,548 while the TD27 route (Guyana to UK Continent basis 130,000 mt) rose a point to WS85.83 translating into a daily round trip TCE of $35,061 basis discharge in Rotterdam. For the TD6 route of 135,000 mt CPC/Med, the rate has modestly improved by a point to WS100.9. This shows a daily TCE of a $39,838 round-trip). In the Middle East, the rate for the TD23 route of 140,000 mt Middle East Gulf to the Mediterranean (via the Suez Canal) rose 1.5 points to a fraction over WS91.
Aframax
In the North Sea, the rate for the 80,000 mt Cross-UK Continent route (TD7) has eased slightly to between the WS107.5-110 level giving a daily round-trip TCE of around $27,000 basis Hound Point to Wilhelmshaven.
In the Mediterranean market the rate for 80,000 mt Cross-Mediterranean (TD19) has been reduced by 3.5 points to WS121.28 (basis Ceyhan to Lavera, that shows a daily round trip TCE of about $29,733 (about $1,000 less than a week ago).
Across the Atlantic, the market has capitulated after a few stem cancellations and vessel descheduling in Mexico adding pressure to owners in the arena. The rate for the 70,000 mt East Coast Mexico/US Gulf route (TD26) and the 70,000 mt Covenas/US Gulf route (TD9) had 10 points clipped from a week ago and are now at WS132.78 (showing a daily round-trip TCE of about $25,687) and WS130.94 (which shows a daily round-trip TCE of $24,833), respectively.
The rate for the trans-Atlantic route of 70,000 mt US Gulf/UK Continent (TD25) had 15 points deducted and is now at WS143.89 giving a round trip TCE basis Houston/Rotterdam of $34,447 per day.
Source: Baltic Exchange
