Market Review: Bulk, Tanker and Containership

So far in 1997, the shipping markets have offered up a rich variety of financial opportunity and risk. For the first three months of the year, dry bulk rates increased sharply but – just as owners began to think the future was assured – the market began to fall away in April. The tanker market regained its upward momentum in 1997, with some spectacular rates reported in the Caribbean. Containership rates continued their fall, and the market psychology deteriorated sharply.

The volatility in the markets over the last six months is a reminder – if any is needed – that shipping remains a very dynamic market. The review below, provided by Marsoft Inc., highlights some of the factors that are driving the markets now.

Dry Bulk Market Highlights
It has been a real roller-coaster ride for owners and shippers in the dry bulk market so far this year. Rates increased rapidly during the first quarter of 1997, as a recovery that began at the end of 1996 seemed to gain strength. But the rally ran out of gas just as things were beginning to get interesting, and rates moved steadily lower throughout April, before stabilizing at a low level in May.

This is only an excerpt of Market Review: Bulk, Tanker and Containership

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