SHIPPING NEWS - DRY TRADE

Capesize: Average spot market levels have fallen some 20% to present some usd 19k over the last week - and whilst most players expect a recovery at some stage, there is no light at the end of the tunnel yet as tonnage keeps piling up for a very limited volume of fresh business. The continuing softening is particularly felt on the fronthaul trades, where ballasters have seen their daily income cut by some usd 8k to come in around usd 17k. The shorter rounds in Pacific are just slightly better off, standing at usd 16k after taking a usd 4k/day blow. No period fixing worthy of mention - even though several majors are there to secure tonnage for short/medium duration at almost 50% premium to spot levels. Panamax: We have experienced a free fall in rates across the board for Panamaxes the last week. For the 28th day in row the BDI declined. The lack of cargoes compared to available ships causing owners to offer lower than what's last done in order to secure employment. At the same time we see fresh cargoes in the market, but it is not sufficient. many believe we will not see a turn in rates until the grain season in the US kicks off, and for now coal is the main driver with some sporadical grain and iore cgos. Tarv now getting mid teens and trip to Far East was done at a healthy $26k. In the Pacific round trip's paying mid/high teens. In china the Shanghai consumer Index took a beat after concerns for the Chinese economy and slow recovery of the Global Financial crizis and today the Chinese government stepped into the market to help the economy further.