According to the Baltic Exchange’s Weekly Market Roundups published on February 24, 2023:
Clean
The majority of the Baltic Exchange CPP freight routes have fallen this week, which was reflected in the BCTI dropping to under the 1000 mark.
In the Middle East, LRs have taken a tumble after improving. On the LR2s TC1 peaked at just over WS200 midweek to return back to WS194.38. Similarly, a TC20 run to the UKC topped out at $4,770,000 (up from $4,614,000) and finally settled at $4,714,000 by the end of the week. Much like their larger counterparts LR1s have come off this week. TC5 has lost 7.58 points to WS209.29 and TC8 (65kt MEG/UK-Continent) shed $100,100 down to $3,866,850. Despite these drops LR2s are still returning around $50,000 /day and LR1s $40,000 /day round-trip TCE. On the MRs TC17 has been retested down, and WS325 has been reported on subjects more than once, leading the index down 58.57 points to WS321.43.
West of Suez the LR2s of TC15 have remained balanced around the $3,900,000 – $4,100,000 mark all week. There has been a little more activity on the LR1s this week, but despite this TC16 dropped to WS200 (-12.14).
UK-Continent MRs have been consistently under the cosh this week, attributed to a surplus of tonnage outweighing demand. TC2 has lost 66.11 points to WS193.33 and likewise TC19 came down from WS268.57 to WS202.86.
Handymax vessels have been feeling the pressure just as the MRs have this week. TC6 has lost 27.25 points to WS237.13, and on the UK-Continent TC23 dropped to WS261.25 (-31.25).
In the Americas, just as the MRs recouped last week, they have been slashed back down this week. TC14 dipped 66.67 points to 125.83 and TC18 was cut down to WS211.67 (-84.16). A run to the Caribbean (TC21) has also taken a 44% hit and is currently pegged at $693,750 (-$543,750).
VLCC
The VLCC rates took a slightly negative turn this week, with the exception of the US Gulf to China route.
For the 270,000mt Middle East Gulf to China voyage the rate eased 3.5 points to WS4.73, which shows a daily round voyage TCE of $47,300 basis the Baltic Exchange’s vessel description. The rate for 280,000mt Middle East Gulf to US Gulf (via the cape/cape routing) is assessed one point lower at WS40.5.
In the Atlantic markets, the rate for 260,000mt West Africa/China slipped one point to about WS66.5 showing a round-trip TCE of $49,900 per day. This is $2,700 more than a week ago. The rate for 270,000mt US Gulf/China swung upwards by over $325,000 to just over $9.322 million ($43,300 per day round-trip TCE) and overnight reports today have details of Occidental on subjects with a Trafigura relet (2017 built scrubber fitted) at $9.4 million for this trip.
Suezmax
The rate for 135,000mt CPC/Augusta softened by one point this week to WS167 (a round-trip TCE of $87,900 per day). In West Africa, for the 130,000mt Nigeria/Rotterdam voyage, rates firmed by almost 10 points to WS136 (a daily round-trip TCE of $62,500). In the Middle East, the rate for 140,000mt Basrah/Lavera gained two points to WS60, with tonnage availability reportedly diminishing.
Aframax
In the North Sea market, rates for the 80,000mt Hound Point/Wilhelmshaven route remained flat at around WS152.5-153.5 (a round-trip daily TCE of $50,800).
In the Mediterranean, the rate for 80,000mt Ceyhan/Lavera dropped four points to WS174.5 (a daily round-trip TCE of $56,100).
On the other side of the Atlantic, the Stateside Aframax market sharply rose. The rate for 70,000mt East Coast Mexico/US Gulf improved by 68 points to WS267.5 (about $90,100 per day round-trip TCE) while the rate for 70,000mt Covenas/US Gulf had 64 points added to last week’s rate to WS257 (a daily round-trip TCE of $79,000).
For the Transatlantic route of 70,000mt US Gulf/Rotterdam, rates are up by 24 points at about WS242.5 (showing a round-trip TCE of $70,700 per day).
