Panamax vessel rates surge to 4 month high Panamax vessel rates surge to 4 month high Montel News reported that Panamax vessel rates have surged to four-month highs as demand for coal shipments in both the Atlantic and Pacific basins and support from the larger capesize vessel segment underpin the market. The Baltic Panamax Index – which tracks global rates for the 60,000-80,000 deadweight tonnes vessel class – was assessed last at 1,566 points, up by 17% on the month and the highest level since 26 March. The rise in part reflected an active coal market, amid transatlantic shipments of US coal to northwest Europe and the Mediterranean and steady demand from India and other Asian destinations, said an analyst with a London-based shipbroker. The market was also receiving support from a bullish capesize vessel segment (100,000-220,000dwt), with the Baltic Capesize Index soaring 73% over the past month to a year-to-date high of 3,461 points. The analyst said that “There is a lot of iron ore moving from Brazil to China.” However, this was partially due to government restrictions on Chinese domestic iron ore output. Source : Montel News
Rates for Panamax vessels rose to a four-month high last week due to high coal demand in the Pacific and Atlantic basins. Demand for coal shipments from the US to northwest Europe, the Mediterranean, India and other Asian destinations together with support from the larger capsize sector have strengthened the market. The price of oil has also risen sharply since mid-2014 as global supply is expected to remain tight through 2016.