The main futures contract for EC2502 fell 2% week-over-week on significantly
lighter volume compared to previous weeks, with traders liquidating 11% of their
open interest amidst concerns that spot rates may have peaked. Longer-dated
freight futures dropped further on weakening sentiment for post Chinese New Year
rate developments with sellers increasing their short positions.
Traders were spooked by Maersk’s rate quotation for January shipments that was
$500 below the $6,000 per FEU target set