Most of the Container Freight Index Futures, CoFIF, went limit down today on news of the cease fire framework being within reach. But we only found such story on Washington News. No other major news channels reported a ceasefire deal being concluded. 190k contracts changed hands today, which the highest trading volume since mid May. Though, no sign of liquidation in the market as open interests rose to year-to-date high with position-building increasingly concentrated on the contracts expiring
Port congestion has started to pick up again after recent improvements, with delays at Shanghai worsening over the past week due to bunching of vessel arrivals with wait times of up to 4 days and up to 2 days in Ningbo. In Southeast Asia, overall congestion levels have been reduced but berthing delays remain at up to 3 days in Singapore and 5 days at Port Klang while Tanjung Pelepas has limited delays at the moment. Congestion at North American ports are also starting to build up after the 4 Ju
With the rest of its main rivals pushing ahead with their capacity expansion plans, Maersk has been stagnant with its capacity operated capped at 4.3m TEU since 2017 as the Group pursued its logistics integrator strategy. This is set to change as Maersk stated last week that it will be “doing whatever it reasonably can to bring supply in line with businesses’ demand for capacity”, as it hints to an imminent reversal of its self-imposed capacity cap. The move follows Maersk’s withdrawal from it
Taiwanese liners reported their June revenue, which in aggregate were up 32% MoM and 78% YoY. On quarterly basis, these liners' top line were up 20% or $1b QoQ to over $6bn in aggregate. The last time these liners together earned over $6bn in revenue were back in 4Q 2022. The combined EBIT for these 3 liners were just $800mn in 1Q 2024. The $1bn QoQ jump in revenue, driven mainly by the spot freight rates uptick, may have doubled these liners' EBIT in our estimates.
Ningbo Ocean Shipping (NBOSCO) has launched a new China-Middle East Gulf Express (CGX) service connecting Ningbo, Jebel Ali, Ningbo on a direct shuttle connection serving just 2 ports. The CGX service will turn in 35 days and will operate initially with just a single ship on monthly frequency starting with the 1,868 teu XIN MING ZHOU 106 at Ningbo on 28 June 2024. It is the first NBOSCO service to the Middle East and is also the first long haul service for the Chinese carrier that is currently
SCFI rates to North Europe slipped back marginally after last week’s 12.5% gain with the 1 July rate increase still largely in place. Carriers are still pushing for a mid-July increase, with mixed views on whether this fresh round of rate hikes will stick. Capacity utilization has slipped in the last 2 weeks, with the launch of 3 new FE-North Europe services and bunching departures on 3 other strings adding some 100,000 teu of additional slots to the market. Slot availability will be down over
EC freight futures to North Europe tumbled on 8 July, with 4 out of the 6 contracts hitting their daily 16% limit down level, while the two exceptions EC2408 and EC2410 dropped by 4.1% and 15.6% respectively. The daily price movement limit will be revised from 16% to 19% for contracts expiring in December onwards starting from 9 July. Open interests went up 2% WoW with traders taking more overnight positions for EC2410, EC2504 and EC2506. The EC market was spooked by concerns that freight rates
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202428] Renewed apprehension over a Middle East ceasefire and signs that freight rates may have peaked spooked the jittery container shipping equity and freight futures markets on 8 July despite continued advances in the SCFI and charter rate indices last week. Although carriers successfully pushed ahead with the 1 July rate hikes, cracks have appeared on their ability to secure further rate increases as the additional capa
Asean Seas Line (ASL) has launched a new China-Port Klang/Malaysia (CPM) service calling at Nansha, Shekou, Port Klang, Nansha from 6 July 2024. The service will turn in 12 days using a single ship starting with the 1,182 teu CA OSAKA at Nansha on 6 July 2024.
MSC has acquired 2 newbuilding contracts for a pair of 14,000 teu ships currently under construction at Jiangnan Shipyard from BAL Container Line for $133.3m in total or $66.65m for each ship. BAL's parent company, LC Logistics, will book a profit of $49m from the sale as the book value of these ships stand at $84.3m for the first 2 installments paid to Jiangnan for the construction of the ships so far. The 2 ships were ordered by BAL in June 2022 and are scheduled for delivery in July and Sept