Sun, Sep. 11, 9:29 AM
- The world's largest container shipping firm is seeing a short-term rise in freight rates and an inflow of new clients after the collapse of Hanjin Shipping (OTC:HNJSF).
- "There's no doubt that we're seeing a reaction in the rate market," said Klaus Rud Sejling, the executive in charge of Maersk Line's (OTCPK:AMKAF) east-west network. "In the short term, the effect is positive... The question is, what will happen with rates in the longer term."
- Related tickers: SHIP, EGLE, GNK, SINO, DRYS, NM, SBLK, DCIX, BALT, SFL, KEX, SB, SALT, DSX, GOGL, MATX, EURN, NNA
Fri, Sep. 9, 3:57 AM
- Korean Air Lines, the biggest shareholder in Hanjin Shipping (OTC:HNJSF), has delayed a decision on a funding plan for the troubled company for a second time, adding to the uncertainty of around $14B of cargo stranded at sea.
- With Hanjin's future in doubt, carriers have announced they will hike container freight rates by as much as 50% beginning next month as retailers scramble to secure shipping ahead of the peak year-end holiday season.
- Related tickers: SHIP, EGLE, GNK, SINO, DRYS, NM, SBLK, DCIX, BALT, SFL, KEX, SB, SALT, DSX, GOGL, MATX, EURN, NNA, UPS, FDX
- ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, FXD, RHS, FDIS, FSTA, RCD, PMR, JHMC, JHMS, CNSF, CNDF
Dec. 7, 2015, 2:24 AM
- Shippers are protesting a new marine shipping safety rule they say will raise transport costs and cause delays at ports worldwide.
- The regulation, which kicks in next July in 171 countries, requires exporters to certify the weight of containers before they're loaded for transport.
- Carriers say accurate weights are needed because heavy containers frequently damage cargo and even cause vessels to capsize, but shippers in many countries say they are ill-equipped to weigh so many containers.
- Related tickers: SHIP, FREE, EGLE, GNK, SINO, DRYS, NM, SBLK, DCIX, BALT, PRGN, SFL, KEX, SB, SALT, DSX, GOGL, MATX, EURN, NNA
Sep. 18, 2015, 1:11 PM
- The Baltic Dry Index rose 77 points, or +8.7%, overnight to 960, its biggest two-day gain in almost seven years amid speculation that Chinese iron ore purchasing is eroding the supply of vessels to collect the raw material from Brazil.
- The index rose 18% on Thursday and Friday, the most for two days since February 2009, and charter costs for capesize ships that take iron ore to China from Brazil rose by 16% to $14.59/ton.
- Overall capesize rates rose overnight by $2,782, or +23.4%, or to $14,658/day (+9.4% M/M); in the past two days, capsize rates are up $5,409, or +58.5%.
- "There’s a misunderstanding among investors that China isn’t buying iron ore... It is," says the managing director of Commodore Research. “China is still buying every single ton that global miners want to sell.”
- Related drybulk stocks include DRYS, GNK, PRGN, DSX, FREE, EGLE, NM, NMM, SBLK, KEX, SB, SINO, BALT, SHIP, DCIX.
Jul. 21, 2015, 11:00 AM
- The Baltic Dry Index rose 4.3% to 1,113 with gains registering for capesize, panamax, and supramax rates.
- The BDI has doubled since February when a weak market prompted some companies to scrap ships. Shipping rates are still well-below the level from late 2013 to late 2014.
- The Guggenheim Shipping ETF (SEA +1.3%) tracks the Delta Global Shipping Index which correlates only loosely with the BDI.
- Related stocks: DRYS, DSX, FREE, EGLE, NM, NMM, SBLK, BALT, SHIP, GSL, PRGN, GOGL.
Jul. 17, 2015, 10:13 AM
- Shipping stocks making the strongest move today are Diana Shipping (DSX +5.9%), Star Bulk Carriers (SBLK +6.7%), and Navios Maritime Holdings (NM +6.5%).
- The latest industry read on dry time charters has been positive.
- Also in the sector, Genco Shipping & Trading (OTCPK:GSKNF) recently won approval to list shares on the NYSE following its merger with Baltic Trading (NYSE:BALT).
Jul. 16, 2015, 12:55 PM
- The Baltic Dry Index rose 6% overnight to 1,009, capping a 10th consecutive day of gains that has seen a 27% increase; the BDI is now at its highest level since early December, and up 98% since hitting an all-time low on Feb. 18.
- The gains were across the board in capesize, panamax and supramax rates: capesize +14% overnight to $12,693/day (+106% M/M), panamax +2.4% to $9,158/day (+49% M/M), supramax +2.7% to $8,603/day (+18.4% M/M).
- Related drybulk stocks include: DRYS, PRGN, DSX, FREE, EGLE, NM, NMM, SBLK, SALT, GOGL, KEX, SB, SINO, BALT, SHIP, DCIX
May 4, 2015, 4:41 PM
- Baltic (NYSE:BALT): Q1 EPS of -$0.21 misses by $0.05.
- Revenue of $6.91M (-47.2% Y/Y) misses by $1.95M.
- Shares -0.52%.
May 3, 2015, 5:35 PM
- ADEP, AEGR, AEIS, APC, APU, ATEN, BALT, BBRG, BKH, CAR, CDE, CGNX, CHUY, CKEC, CXO, DENN, DNB, DVA, ECOM, EGOV, ELNK, ENH, EOG, EOX, FBP, FN, FNF, HIL, IDTI, IM, ININ, INN, INVN, IRG, ITRI, KS, LMNX, LSCC, MATX, MCEP, MDU, MERU, MIC, MUSA, NLS, NUVA, ONDK, OTTR, PACD, PLOW, PPS, PQ, PTCT, QLYS, RAIL, RGR, ROSE, RWT, SGY, SHO, SNHY, STAG, THC, TXRH, UGI, VNO, XEC, XPO
Apr. 9, 2015, 4:58 PM
- The merger of Baltic Trading (NYSE:BALT) and Genco Shipping (OTCPK:GSKNF) will create another powerhouse in the drybulk sector and makes sense in several ways, GMP Securities analyst Magnus Fyhr as he maintains a Buy rating and $3 price target on BALT.
- Fyrh says the fleet of the combined company will increase to 68 ships - plus two scheduled to be delivered in 2015 - which would rival the recent combinations of Star Bulk Carriers (NASDAQ:SBLK) with 98 ships and Golden Ocean Group (NASDAQ:GOGL) with 77 ships.
- Also, Genco already provides BALT with fleet management services, BALT's liquidity issues will be addressed by Genco's more robust balance sheet, and Genco will gain access to BALT's listing on the NYSE.
Apr. 8, 2015, 12:46 PM
Apr. 8, 2015, 9:50 AM
- Genco Shipping & Trading (OTCPK:GSKNF) agrees to acquire its Baltic Trading (BALT -1.8%) subsidiary in a stock-for-stock transaction.
- BALT will become an indirect wholly-owned subsidiary of Genco, and BALT shareholders will receive 0.216 shares of Genco common stock for each share of BALT common stock they own; Genco shareholders are expected to own ~84.5% of the combined company.
- Genco expects to have its stock listed on the NYSE when the transaction closes.
Apr. 8, 2015, 9:12 AM
Mar. 2, 2015, 4:35 PM
- Baltic (NYSE:BALT): Q3 EPS of -$0.10 misses by $0.02.
- Revenue of $11.7M (-19.3% Y/Y) misses by $2.17M.
Mar. 1, 2015, 5:35 PM
Jan. 30, 2015, 2:58 PM
- The Baltic Dry Index falls another 3.8% and is now trading at its lowest levels since the 1980s, even as traded volumes of many commodities are reaching record levels.
- The dry-bulk market has been sunk by a perfect storm as new ships ordered after the financial crisis have hit the seas just as Chinese economic growth has slowed and commodity prices have turned lower.
- Earnings for a capesize vessel typically used to transport coal and iron ore have fallen to $6,707/day today, down ~50% Y/Y and hardly enough to cover daily operating expenses of $6K-$10K.
- As one analyst says, some of the share prices are starting to reflect almost a state of bankruptcy: Shares of Scorpio Bulkers (NYSE:SALT), for one, have plunged 85% in the past year, and Star Bulk Carriers (NASDAQ:SBLK) has shed 67% in the same period.
- Related tickers: FREE, EGLE, SB, DRYS, NM, SHIP, ESEA, PRGN, DCIX, GSL, NMM, DSX, DAC, KEX, ULTR, BALT, SINO.