- Limited enquiries and ample tonnage keep fixing activity subdued
- Holiday slowdown and disruptions further restrict market momentum
Coal freight remained under pressure in the week ended 7 April, with muted activity across key routes as limited enquiries and higher vessel availability restricted fixing momentum. Activity further slowed due to the Good Friday and Easter holidays, resulting in limited fixtures.
Across basins, thin cargo flow and hesitant participation weighed on sentiment, with limited movement on the Indonesia-India route, although a few fixtures were reported at relatively higher levels.
In the Atlantic, absence of fresh fixtures and weak enquiry visibility kept activity constrained amid continued demand uncertainty. In the Pacific, cyclone-related disruptions in Australia, coupled with rising tonnage, further kept market activity subdued, limiting fresh fixing momentum.
A shipbroker said, “Market has been closed since last Friday. It is still bearish and there are no fixtures.”
“Activity is low, and with the market changing frequently, traders are hesitant to commit.” another broker added.
Freight derivatives declined during Asian trading hours, reflecting softer expectations, while bunker prices moved slightly higher following a sharp drop in the previous session, adding to market uncertainty.
Overall, the market continues to reflect a cautious undertone, with participants adopting a wait-and-watch approach amid limited visibility on cargo flow and rate direction.
Outlook
In the near term, coal freight rates are expected to remain under pressure amid subdued enquiries and ample vessel availability. While firmer bunker prices and occasional higher fixtures may offer limited support, weak cargo demand is likely to keep sentiment soft, with recovery dependent on a pickup in enquiries
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