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Markets

Daily CoFIF: Short Coverings Drove EC Prices

Short-covering continue to be the driver moving up prices of the container freight futures as traders close their freight futures positions to rotate to equities. Open interests fell 23% in a week. Main contract ie EC2412 rallied again this morning after have moved up 8% in the previous 2 trading days. Liners are still cutting their freight rates, which on average dropped 5% over the past weekend. The lowest quotation have broken below $3000/FEU with the THE Alliance liners leading the freight

Services

Fesco Intra-Asia Service (FIAS) launched

FESCO has launched a new Fesco Intra-Asia Service (FIAS) connecting Port Klang, Ho Chi Minh City, Port Klang with further connections  to FESCO's services to Russia via Ho Chi Minh City for northbound connections to Vladivostok and via Port Klang for westbound connections to Novorossiysk and St Petersburg. The service was launched on 17 August 2024 with the 706 teu BOHAI STAR that made 5 roundtrip voyages between Port Klang and Ho Chi Minh City until 24 September 2024 on weekly intervals. A rep

Services

STF Shipping introduce China-Russia Far East services

Newly established STF Shipping has launched 3 new China-Russia Far East service since August 2024, taking over CStar Line's services on this route. According to the company, STF stands for Safety, Timeliness and Flexibility and it has established its headoffice in Shanghai, with agency offices in Ningbo, Seoul, Vladivostok and Nakhodka. STF operates 6 containerships of 1,100 teu to 2,200 teu that were all transferred from CStar Line in August 2024, that are deployed on 5 separate services: *

Markets

Daily CoFIF: SCFI likely down about 10% WoW

Freight futures for Shanghai-North Europe route continue their rebound today with main contract which is EC2412 up 7% for the day at 10:50, following the broader capital market in China. Average online quotations for Shanghai to North Europe base ports dropped 1% to 8% overnight, with shipments departing in middle of October see the biggest freight rates cut. CMA CGM released first update since 18 Sep that it slashed its quotations by 14%. Maersk took the lead from HMM by offering the lower fr

Markets

Daily CoFIF: Quotation Still Down

In the Asia-Europe trade, most freight rates quoted online are still down with Hapag Lloyd making relatively bigger cut than what other liners do. Lowest FAK quotation is $3,382 per FEU from HMM. Utilization for departures on 24th Sep, both TEH services, were above average, supported by THE alliance members' more aggressive pricing. Asia-Europe Head Haul Capacity UtilizationLast Friday, the average quotation given by the liners is about $4,136/FEU, which is consistent with the SCFI (Europe)'

Markets

Container freight futures edged up

EC freight futures rebounded on 23 September with smaller than expected rate cut by 2M and OCEAN Alliance carrier, with the spillovers from the expected US East Coast dockworkers’ strike scheduled to start on 1 October. EC traders continue rely heavily on surveys of carriers’ FAK rate quotations which dropped by -7% last week (Week 38) compared to the -18% drop in Week 35. However, the EC rates is expected to weaken in the coming week following the 13.9% WoW drop in the SCFIS on 23 September wh

Markets

SCFI down 6% WoW

Rates to North Europe continued their sharp falls with the SCFI assessed rates falling by 8.8% to North Europe and 12.2% to the Med. Carriers continue to slash rates, with THE Alliance carriers particularly aggressive with the rate cuts last week with quotations falling below $4,000/feu. Although departures from Shanghai have been severely disrupted in the last 2 weeks due to congestion following Typhoon Bebinka, the reduced capacity available did not stop rates from dropping with demand remai

Port Congestion

Congested Capacity Surged Over 3M

Aggregated container volumes handled at the ports of Los Angeles and Long Beach reached 1.87m teu in August, the second highest monthly throughput ever recorded at the main Pacific Southwest (PSW) gateway port just shy of the 1.92m teu peak handled during the peak of the COVID pandemic in May 2021. The current volumes already exceed the 1.67m teu handled in January 2022 when congestion at the San Pedro Bay ports reached a record high of 740,000 teu, but there is still few signs of any serious co

Companies

DSV leaps to 2nd place in ocean freight forwarder rankings

DSV has announced on 13 September 2024 an agreement to acquire Schenker from Deutsche Bahn in a deal valued at €14.3Bn (US$15.95Bn). The combination of DSV and Schenker would create the 2nd largest ocean freight forwarder in the world just behind Kuehne & Nagel, and overtaking the current no. 2 DHL. The Schenker deal is the 8th large acquisition by DSV since 2000 and follows the earlier acquisitions of DFDS Dan Transport in 2000, JH Bachmann in 2005, Frans Maas in 2006, ABX Logistics in 2008, UT

MarketPulse

Market Pulse 2024 Week 39

Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202439] Carriers continued to slash freight rates ahead of China’s Golden Week holidays with heavy discounts offered across all routes. Rates on the Asia-Europe route came under the heaviest pressure, with Transpacific rates to the US East Coast also dropping sharply as the ILA dockworker strike on the US East Coast looks certain to proceed on 1 October. The shift in cargo volumes to the US West Coast has picked up pace but

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