John Faraclas
Both the Dry and Wet markets have touched bottom yet again and geopolitics look more than worrying; John Faraclas weekly recap:
The BDI (Baltic Dry Index) closed just two points higher than yesterday at 1,198 points and 17 points higher than last week’s 1,181 but the damage has already been done!
The Capers were down both today as well as on an overall weekly count – today the BCI 2014 was down 13 points and since last week 70 !!!
The Panamaxes maintained a more decent result – the BPI was up today 22 points and since last Friday 119 points – the only good news amid this chaotic situation prevailing in the markets with this triple digit!
The Supras’ BSI was up on a daily basis four points – 921 and on a weekly 13 (from 908) …
Handies too on a stable basis; up two today standing at 543 and up 23 since last week’s 520!
One must be very careful in accessing these figures which in our view prove that the market has no steam and purpose for the moment – you never know though but these figures are, as they stand,pessimistic!
The Wets were worse off; the last published BDTI (Dirties) andBCTI (Cleans) were 878 down 13 and 436 down three respectively; on the weekly count the Dirties were down eight points from 886 and 44 the Cleans from 460 points. A bit of a messy wet market…CAUTION!
The WTI at US$ 51.65 makes waves, up nearly four dollars from last week! CAUTION though as the rise will trigger a mess; we are not in 2008 when it topped US$ 145 – even above that, times are different.
The Containers are becoming a liability for all, despite that this means of shipping and transport is the best for all goodies… but greediness and luck of risk brought this unprecedented situation.
The Shipfinance front is more than in a mess and expect many banks to go under, needless to mention owners listed or unlisted. This in turn will affect the entire shipbuilding industry. Caution, caution CAUTION!!!!
Environmental issues and promises must be kept for a better environment by all!
Despite all the above and the thorny geopolitics, this is the best ever buyers’ market for second hand and newbuildings!
The Geopolitical front creates more troubles:
The MIGRANTS issue will govern most of next week’s meeting in Brussels and elsewhere as we are told…
The War in Syria is more than in a turning point.
ISIS threatens to attack Europe; as we have numerous times said: Use even disproportionate force, excess force and smash ISIS before they attempt something sinister in the European capitals and other major cities…
Turkey becomes an aggressor yet again in the entire region and its appetite must be contained as the war of words will create the Fourth World War. Turkish leaders play with fire to entertain the forthcoming Turkish losses in the aftermath of the Syrian and Iraqi saga (Mosul, Aleppo, etc). Where is the European Union’s solidarity as well as that of NATO?? Shame!
BREXIT becomes the most important of the issues even from the USA’s presidential elections…
GREXIT must follow to show Merkel’s Europe that things can turn upside down.
The Cyprus issue might become yet again the thorny issue. Pragmatism must prevail, otherwise expect total mess on many fronts.
Italy might produce an end game in Europe. On Monday the 5th of December we will know… Caution too, but freedom must prevail… otherwise expect the unexpected…
President-elect Donald Trump appoints Gen James Mattis as Defence Minister; the true General’s General!
In Gambia a surprise win makes president-elect Adama Barrow a new hope for a better future there… we shall see…
Strange rally in Jakarta tells of caution there as things might go off hand… “Ahok” …Basuki Tjahaja Purnama, might stand trial for insulting Islam…
Trouble in Hong Kong too… The government moves to disqualify from parliament four pro-democracy lawmakers…
Venezuela is expelled from Mercosur due to the human rights and trade issues…Nicolas Maduro chair might fall…
The Big event begins; picture by Regina J. Faraclas
Finally, a few minutes ago in Athens at the Athenaum Intercontinental Hotel, during the Annual Lloyd’s List Greek Shipping Awards, the most prestigious ones, that of the “Greek Shipping Personality of the Year” , the “Lloyd’s List/ Propeller Club Lifetime Achievement Award” and the “International Personality of the Year” went to Panos Laskarides, Nicos Efthymiou and Peter Hinchlifferespectively!
Many Congratulations to both and all other winners and runners-up! and be on guard for every eventuality!
Have a nice weekend…
