By Keith Wallis

SINGAPORE, Oct 15 (Reuters) – Freight charges for capesize bulk carriers may backside subsequent week as homeowners resist charterers’ makes an attempt to pressure charges decrease on the expectation of an end-of-year cargo flurry, brokers mentioned on Thursday.

“Nobody wants to lock-in freight prices at the current levels (and miss a November rates rebound),” mentioned a Singapore-based capesize dealer on Thursday.

“I am confident there will be one more (cargo) push before the end of the year,” the dealer mentioned.

Owners anticipate main iron ore and coal miners comparable to BHP Billiton, Rio Tinto and Vale will launch a raft of charters for loading within the subsequent few weeks that can push freight charges larger relying on the quantity of cargo, mentioned a Shanghai-based capesize dealer.

“I feel charterers are holding back cargo to push the market down. But with rates from Western Australia at about $5 a tonne I don’t expect it to get much worse,” the Shanghai dealer mentioned.

Capesize charges have sunk after Chinese seaborne coal imports plunged this yr by at the very least 60 million tonnes, in response to British delivery providers agency Clarkson.

“The coal market traditionally should be stronger in November due to winter stockpiling,” the Shanghai dealer mentioned.

Rates for vessels arriving in Australia in November to load cargo are already marginally larger than for ships arriving finish of October, the Shanghai dealer added.

“November arrivals are paying $5.40 a tonne,” the Shanghai dealer mentioned. By comparability, the most recent constitution concluded for an end-October arrival was fastened at $5.05 per tonne, the dealer mentioned.

Rates have been trending decrease on Thursday after a uneven week.

“We are nearly at the bottom of the market with rates at $5 per tonne,” the Singapore dealer mentioned.

Charter charges for the Western Australia-China route have been right down to $5.19 per tonne on Wednesday, the bottom since Sept. 15, towards $5.70 per tonne every week in the past.

Rates for the Brazil-China route fell to $11.49 per tonne on Wednesday, in contrast with $12.10 per tonne the identical day final week.

Panamax charges for a north Pacific round-trip voyage have been round $6,550 per day on Wednesday, up from $6,275 per day on final Wednesday, however falling since hitting $6,707 on Sept. 12, the best since Aug. 27.

Rates may get well on larger cargo volumes, Norwegian shipbroker Fearnley mentioned on Wednesday.

Freight charges for smaller supramax vessels have been barely down this week, Fearnley mentioned in a notice.

The Baltic Exchange’s primary sea freight index fell to 787 on Wednesday, from 841 final Wednesday. (Reporting by Keith Wallis; Editing by Gopakumar Warrier)

(c) Copyright Thomson Reuters 2015.

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