Home MarketsDry Bulkcarriers The BDI@582 enters a dangerous period; so does Geopolitics…

The BDI@582 enters a dangerous period; so does Geopolitics…

by admin
John Faraclas

John Faraclas

The Baltic Dry Index (BDI) and Geopolitics are a matter of concern as if not properly tackled by all involved stakeholders, the liabilities will be catastrophic for all; John Faraclas daily briefing:

Down five points and the BDI@582 posses as a threat for the dry AND wet markets, needless to say for the World Economy and Trade.

The Capers down with the BCI 2014 at 897 – losing 30 points and the Panamaxes’ BPI stable at 546 send  more warning messages around.

A bit of a plus figures for the Supras and the Handies with the BSI and BHSI on a plus four and one points respectively, now standing at 559 and 312 points!

No matter what we will witness by September or latest by the end of October, in case we are not above the 1, 500 point mark, then only the very very few will survive and War might be the only solution left. Do not judge my cynical attitude towards war, but this is the truth of the matter and same must be honestly addressed. War father of all; if you don’t destroy you cannot re-build. This is the pitiful message from history. War can have a multitude of “faces” though: At sea, land and money wars…, economic wars so to speak, as in the case of strangulating Greece…

The Wets once again with mixed results. The last published BDTI and BCTI stood at 718 (plus four) and 443 (minus five) points respectively. CAUTION.

The price of WTI close to US$ 49… The energy issues are slowly slowly come to the fore.

Despite the above – and the Geopolitics mess below, we reiterate the view that this is the best market to acquire any type of tonnage, newbuildings being the most advantageous!

On the Geopolitical front, the Migrants issue is still the number one with more and more trying to reach Europe, Greece and Italy in particular. Today being also the International Refugee Day the message is being more powerful than ever before: End this tragedy! Enough with hypocrisy!  At the port of Merihas in Kythnos Island (North Cyclades Islands) in Greece, we also witnessed the enfolding events with nearly 38 Migrants “arriving” at their ease there – having been rescued earlier on by the Hellenic Coast Guard. The two traffickers, believed to be one Russian and one from Kazakhstan, were arrested… The 90 centum of these Migrants come from Afghanistan (36) and two from Syria. Instead of a total decrease of Migrants arriving in Greece from the Turkish Anatolian coast, given the NATO Naval forces patrolling the region and the EU “deal”, there is still a flow of Migrants making the effort to reach the Mighty Continent. So, what next???????? Shame!

Greeks know more than others in the region for over a century now what Migrants is all about, with the latest cases being those of the Minor Asia disaster in 1922– thanks to the then super-powers attitude versus Greece and Lenin’s equally double-faced treatment of the Greeks, the Second World War – when they fled to the Middle East’s hinterland and Cyprus due to the tripartite-nation occupation of Greece by Germans, Italians and Bulgarians. The Cyprus 1974 saga too with the Turkish invasion, brought to the surface another sad story which still continues the friction with many nations in the region AND within Europe – not just between Greeks and Turks!

The BREXIT vs. BREMAIN issue is more than a serious one. Mixed messages and views fly around. In three days- time – by the midnight hour of the 23rd to the 24th of June, all will be known and decisions will be valued whatever the result. We reiterate the view that German –dominated Europe MUST change. Nobody underestimates the German Peoples progress after two World Wars, but equally the German leaders of today must come down to their senses before they come down to their knees. We insist of a total re-drowning of the whole European Idea! The United Kingdom can go alone and will survive; if it remains in Europe, then Europe must change completely its  attitude towards the British people’s interests both within Great Britain and Europe; end of the story! The Commonwealth, the empire if you like it, it’s still alive and kicking! One point six billion people is the Commonwealth and can re-start another Economy to the envy  and detriment of the rest of the world! The writer strongly supports the European Idea, but same has been jeopardised. A re-approachment to the real European Idea is a must.

Caution too must be observed with the Turkish polemic and aggression in the region of Eastern Mediterranean and beyond.

More caution for the entire Europe as the financial situation in almost all European Nations within or outside the Euro Zone and European Union, and the Greek saga might become by September intolerable!  Greece cannot live with borrow time and money: 41 (forty-one) years and One trillion dollars is more than enough… There is no way out, as having two in a tango, each side must pay its dues…

In the USA the race for the White House is not an easy one. America is being faced with history’s biggest test, both internally and externally. Let’s see the new leader what policy will follow. The Orlando incident must never ever happen! The Gun Law must be a just one and a must to happen…

The Syrian saga continues as well as those in Iraq and Afghanistan, needless to say that Libya is also in many areas under the mercy of the upcoming ISIS terrorists.

Caution should be observed in the South China Sea. Relations between China and Indonesia should remain peaceful, otherwise expect a bit of a mess

Let’s hope all will go well in Brazil and the Olympics go ahead smoothly, as they should. Finances is an important aspect.  On another note, some scandals there must end too…

I guess enough for a Monday, enjoy the Full Moon and the Summer Solstice that happens in a few hours – an event that was last experienced 70 (seventy) years ago!!!! If properly translated and explained, professional astrological happenings do change the world we live in and should’t be ignored – does anybody ignores physics?

Have a nice evening!

You may also like

Leave a Comment