Archive for February 21st, 2011

Video Of The Day – Al Jazeera: Libya Bulletin

Huge, huge mess…with no resolution in sight…

New Week Intro – February 21, 2011

Weekly economic calendar.

Morning Reading – Monday, February 21, 2011

*** Al Jazzera: Live Blog – Libya ***
*** JESSE’S CAFÉ AMÉRICAIN: Silver Bankers May Be Sitting on Big Derivatives Losses and the Fed May Be Funding Them ***
*** JESSE’S CAFÉ AMÉRICAIN: Gold and Silver Options Expiration At the Comex This Week ***
*** Macro Man: Once more unto the breach, dear friends, once more… ***
*** FT Alphaville: A problem for Portugal, charted ***
*** Business Insider: The Simple Reason A Bahraini Revolution Could Trigger A Brand New Financial Crisis ***
*** Business Insider: Meredith Whitney’s Massive Gift To Jeff Gundlach ***
*** macrofudge: Intermezzo: Fun with the Big Mac Index ***
*** Deal Breaker: Hedge Fund Manager’s Decision To Take Blame For Performance Is Slightly Alarming ***
*** Stone Street Advisors: John Paulson’s Interview With the Financial Crisis Inquiry Commission: The Signs Were There ***
*** The Spectator Blog: How the West became so dominant ***
*** The Slope Of Hope: Perhaps There’s Hope Now ***

Dry Bulk Weekly – February 21, 2011

Baltic dry index rose 10.4% last week; Capesize Index was down 2.2%; Panamax Index rose 23.7%; Supramax Index increased 11.9%; Handysize Index rose 3.2%.

Shipping rates are rising after the lunar new year as Chinese buyers returned to the markets

Stockpiles of iron ore unchanged at record high, iron ore price rising. Steel inventories are going vertical and moving towards record highs. Thermal coal stockpiles ticked upwards.

I would expect further gains in rates because of low level from which the after holiday recovery started. Overall stockpile data paints kind of worrying picture of Chinese economy.

Longer term – I expect that rates will be on average bellow break-even (2.200 on BDI) for next couple of years on oversupply of vessels.


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