By Keith Wallis

SINGAPORE, Oct 20 (Reuters)– Freight prices for huge capesize completely dry freight ships on secret Asian courses will certainly remain to drop following week as way too many ships go after offered freights, brokers stated on Thursday.

“The market is absolutely dead today – it’s all very doom and gloom,” stated a Singapore- based capesize broker on Thursday.

While BHP Billiton and also Rio Tinto have actually been energetic charterers today, Fortescue Metals Group has actually avoided of the marketplace, the broker included.

“Vale has said it had nothing now for October- and November-loading dates, so there will be no volume from Brazil,” the broker included.

That came regardless of proprietors cruising vessels vacant to Brazil in the hope of choosing Brazilian iron ore freights, brokers stated.

“There are so many ballasters (empty vessels) and a limited number of cargoes from Brazil. So far the market is still dropping, so I don’t think either the Atlantic or Pacific will recover soon,” stated a Shanghai- based capesize broker.

Rates were around $5.35 per tonne on Thursday for a trip from Australia to China, brokers stated.

“The expectation is they will go lower. There’s a lot of pressure on rates,” the Singapore broker stated.

While China’s iron ore imports have actually continued to be solid this year, getting to 763 million tonnes in the initial 9 months, prepared for additional supply from Australia and also Brazil is anticipated to tax iron ore costs, ship broker Banchero Costa (Bancosta) stated in a record on Tuesday.

“While iron ore export volumes may remain positive for now, it seems possible for Australia’s iron ore export revenue to trend down on lower prices and Chinese demand next year,” Ralph Leszczynski, Bancosta’s head of study, stated.

Lower Chinese need would adversely affect capesize prices, brokers stated.

Charter prices for the Western Australia-China course went down to $5.70 per tonne on Wednesday, the most affordable considering thatOct 5, from $6.10 per tonne recently.

Freight prices from Brazil to China was up to $11.38 per tonne on Wednesday, the most affordable considering thatSept 15, from $12.40 per tonne on the very same day recently.

Charter prices for smaller sized panamax vessels for a North Pacific round-trip trip rose to $7,492 each day on Wednesday, the greatest considering that July 28, 2015, from $6,387 each day recently.

“Last week’s positive sentiment (in the panamax market) continues in both hemispheres,” Norwegian ship broker Fearnley stated in a note on Wednesday.

For smaller sized supramax vessels, products prices in the Far East increased to around $7,000 each day for coal freights from Indonesia to China versus $6,600-$ 6,800 each day recently, brokers stated.

The Baltic Exchange’s primary sea products was up to 872 on Wednesday from 906 a week previously. (Reporting by Keith Wallis; Editing by Subhranshu Sahu)

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