John Faraclas
Whilst the BDI is…approaching the 400 points threshold, in reality and despite what the media and analysts report, as well as what the owners and managers want – needless to say the expectations from the stock markets for the listed companies and the financiers’ interest, given the mess and despicable situation the shipping markets are experiencing, it really doesn’t matter the levels anymore, but the money earned! The 2, 000 plus points though will definitely change the scene all together; John Faraclas reports:
Pity we will not witnessed this coming Easter …the resurrection of the markets, particularly the dry ones. There is a long way to go. We have exhausted all possibilities to make our viewers understand that they have to swim alone! For many many years we have been both for the short and long term predictions and market projections from the other side of the …equilibrium and we are pleased were we are (stand), as things happened per those predictions, right! Shipping is only for the very very very few! End of the story”!
You must be very powerful in all fronts to be able to go ahead, irrespective if we are faced with Herculean Geopolitical tasks to resolve – many peculiar issues and situations…!
You must be something like a powerful “entity state”, if I may say so: you need to ensure that only YOU can fix the XYZ cargo passing Cape Passero and not 300 plus ships awaiting for the same cargo – at least to get this business for a round trip to the Lakes or whatever… It must be YOU to get the fixture for 11 to 18 months t/c at US$7, 000 per day or those in the future of the US$ 15, 000 per day and so forth to survive!
How many owners can offset the rising cost of their DRC or OPEX as it is known from the Square Mile’s glitterati??
Geopolitics is the name of the game. Good balance sheet yet another. It is indeed the best market to enter. Don’t have though all the eggs in the same basket. All ships are needed and soon the tanker or better say energy markets will mostly be at sea. The land business will become more and more vulnerable. War is ante portas…
We are open for discussion and comments on the above preamble.
The BDI closed up three points earlier on today at 398, the BCI 2014 remained the same at 197 (you should become familiar with Capers’ volatility); the Panamaxes lost four points, now down to 459 points; the Supras’ BSI was though up 11 – a nice double digit figure… and the BHSI obtained two points closing at 262.
The wets too had a falling day with the last published BDTI and BCTI down six and two points respectively – now standing at 866 and 499…
All the above points/levels are far beyond any expectation that of the gurus’ short and long term analysis and projections was telling you in all and for all sectors of the shipping markets for over the last ten to sixteen years! Those who missed the Portsmouth Conference on the Millennium have lost the reality which does now take place. Being there, what was hinted, we took it on to account!
Obama in Cuba, the first US President after 88 years! Europe in a total mess with the Migrants and beyond. The old European Empires – save the British one, are trying to dictate their terms, despite most of them being the losers of the Second World War. They shouldn’t speak; they must keep their mouth shut! Some of them are pestering the European south, and I can assure you they will fall in their own trap! We have long ago warned you of what is to come. Down in Greece, besides all melodrama the Hellenic Shipyards issue have surfaced once again. Love it! BREXIT and GREXIT are both ringing the bell. Others will follow soon. The Energy dominance will make it a mess! Northern Africa – from Gib to the mountains of Afghanistan the world is on fire…. There are other regions too, but let’s concentrate on this one. Europe of 500 million people must rise to the circumstances before we witness a major multi holocaust – read in etymology what the Greek word holocaust means; then you know what to expect!
We reiterate the view that this is the best time to go on a newbuilding spree and smash the shipyards defences and their marketing practices- at the end of the day you can become the white knight! Most of them are bankrupt! You need new ships, double eco ones on all aspects, avoiding the cost of conversions, additions and conformity/compliance with the rules etc etc…
Have a nice evening.
