(For The Week Ending February 3, 2012)
Baltic dry index fell 10.9% last week and has reached an all-time low; Capesize Index was down 2.0%; Panamax Index fell 15.0%; Supramax Index was down 12.5%; Handysize Index fell 10.3%.
Iron ore inventory at Chinese ports at new all-time high; price pretty much unchanged. Steel stockpiles and price mostly flat. Thermal coal inventory moved close to all-time high.
Overall I can see an abundance of available ships, and at least well supplied commodity markets in China. It’s quite clear that dry bulk shipping will be loss making business for coming years till a wave of bankruptcies and scrapping reduces vessel supply. Concerning commodities, it’s interesting that high stockpile levels are not followed by weaker prices.