Container freight rates are showing a decline as the initial disruption caused by the Red Sea crisis starts to fade. The Drewry composite index fell 3.5% to $3824 per 40ft box, driven by weakness on the major China to EU route. Additionally, the FBX also dropped 4% to 3288. VLGC shipping earnings have also fallen significantly, with rates close to operating expenses and worrying collapses in arbitrage rates. The Drewry Shipping Consultants index's average shipping price per 40ft container from Shanghai to Los Angeles reached $4,344 in the week ending Jan 25, up 13% from the previous week and 110% from last year.
Stat Spotlight 🔦 The @WSJ reports that the Drewry Shipping Consultants index's average shipping price per 40ft container from Shanghai to Los Angeles reached $4,344 in the week ending Jan 25 - up 13% from the previous week and 110% from last year. https://t.co/uWqWkFxGZH https://t.co/NG6QH2rs2b
VLGC #shipping earnings continues to fall. Only positive at present is that rates are close to opex, which will naturally set a floor (cash-flow negative). Worrying is the collapse in arb, now only ~$9k/d via CoGH & ~$14k/d via PC B1 -2% to $8k/d B2 -1% to $11k/d B3 -8% to $8k/d https://t.co/3vB8aHaqCt
Terrible-Thursday for VLGC #shipping as earnings fall sub-opex in the East ( $AGAS & $BWLPG opex ~8k/d, $LPG ~10k/d) B1 -28% to $7k/d B2 -21% to $28k/d B3 -32% to $17k/d https://t.co/MvFetcCW25
Container freight updates: - Drewry index update today showed a 3.5% w/w decline. - FBX down 4% today to 3288. Container freight rates peak prior to Chinese New Year. $ZIM $HLAG $MAERSK
Global #container #freight rates seem to be peaking as the initial disruption caused by the Red Sea crisis starts to fade as availability rise and custormers adapt. The Drewry composite index trades down 3.5% to $3824 pr 40ft box, driven by weakness on the major China to EU… https://t.co/mVu3KBxDWa
Global #container #freight rates seem to be peaking as the initial disruption caused by the Red Sea crisis starts to fade as availability rise and custormers adapt. The Drewry composite index trades down 3.5% to $3824 pr 40ft box, driven by weakness seen on the major China to EU… https://t.co/mcQ8HSZbbJ