The Markets losing further ground and Geopolitics are as explosive as ever…

Chartering, Containers, Dry Bulkcarriers, Markets, Sales and Purchases, Ship Demolitions, Ship Finance, Shipping Indices, Short-sea shipping, Statistics, Stock Markets, Tankers, Trade and Commerce — By on August 5, 2016 at 5:00 PM
John Faraclas - picture credits Panagiotis Tsakos Photography -

John Faraclas – picture credits Panagiotis Tsakos Photography –

The BDI (Baltic Dry Index) remained the same since yesterday at 636 points, but lost 20 points since last Friday’s 656 points. Geopolitics are freezing the peace process and becoming the real stumbling bloc in halting business development around Planet Ocean. John Faraclas’ weekly recap:

The Capers did it once again particularly in the way that the BCI 2014 ended the week gaining another 11 points today standing at 770 and two points respectively since last week’s 768. The volatility of this size is re-known and we always advice caution!

The Panamaxes  BPI  lost just a point today reading 640 and minus 52 since last week’s 692 points!

The Supras  where also heading down, today losing seven points – with the BSI reading 647  and minus 24 since last Friday’s 671 points…and,

The Handies’ BHSI  with its short-lived plus last week ended this week in losing one point today (394) and five since last week when they stood at 399…

So the coordinated fall happened and let’s see when the reverse will take place given the fact that owners are having major discussions with their money lenders and the unsustainable market. OK, fine we are in the mid of the summer – which always produces low markets, but think out of the box and tell us where this is leading the transport sector as intermodalism suffers in all its sectors. There are no money around, the interest rates are at the lowest historic levels ever experienced and the Olympian Gods are very upset with the Geopolitical mess humans have created all over Planet Ocean…

The Wets too are falling; the last published BDTI (Dirties) and BCTI (Cleans)  stood today at 509 (minus six points) and steady at 458 respectively. On a weekly though basis both were down 41 and eight points!!!!

The latest WTI is falling and now at 18:00 BST stands at US$ 41.53… Very complicated issues on the pricing with every cent affecting entire economies – both that of the exporters and importers!

Geopolitics which, as we have mentioned a couple of times over the last three years, are in the period of the 500 world-cycle of historic changing events, which alter Planet Ocean’s affairs for the next one thousand years – we “provoke” you to check what has happened the last five thousand years and you will see this 500-year old cycle with +/- fifty years difference/overlapping!

The Migrants will continue to be the number one issue on a world-wide basis 24/7! Only today, among the many incidents,  we had just over 100 (One-hundred) of them taking by surprise the frontiers guards between Italy and France and now are in France trying to go more north… Who is accountable for this? Crossing the check points at the frontiers entails more than taking the guards by surprise. Is this happening in Turkey for example or in Libya? I guess there is more than law and order in Turkey than in Libya a lawless country, but in Turkey the Mafioso and traffickers are doing an “excellent” job. You need Special Forces or private security guards, possibly and ideally all those who left at an early retirement and are used as guards on board ships and in protecting ports and terminals. The governments must decide before social upturn sparks and marks our lives with despicable happenings. The European Union, due to political constrains proved 100 centum unable to perform and you all know what is happening triggering, very soon unbelievable situations.

Fighting among Migrants erupted last night at the Port of Patras in Greece; in an empty factory. There were injuries and the Migrants basically from Afghanistan are trying to get closer to truck destined for Europe via ferry boats. There’s already an increase of Migrants arriving from the Turkish Anatolian Coast; shame to the European Union responsible Commissioners and above all to German Chancellor Mrs. Merkel that she doesn’t take a robust stance with the Turkish Government! What is she afraid off?

In Syria the war goes on with the major powers in a stalemate as to what to do – I suspect there is either an agreement or fight as long as you can… The winner takes them all. This is why that I don’t believe in the existence of Diplomats as there are other vested interest and hidden agendas. Shame!

Aleppo, a city under siege might prove the decisive point and turn, but we believe that worse things will happen! It’s a salad so to speak – too many ingredients, too many interests and hopes… Pure mess.  Don’t e surprise of a devastating outcome! Turkey goes mad in the area due to the Turkish factor and the issue of Hatay, a province of Syria “given” to the Turks, Assad, who’s family and believers where a minority – never forget this, will fight to the end supported by Russia who has vested interests in the region since the Soviet era… You have the Kurds there too, local and wider Kurdish populations spread over in four countries. ISIS too back by all – this is the message we get, as otherwise, what stops short the total destruction and eventual complete defeat of ISIS. Expect more mess any minute! The displaced people in the region and others from as far as Afghanistan and as south as Somalia and the Sub-Saharan region are all “coming to Europe! Israel is watching the situation s any spill over will trigger its wrath

Still in the region, Turkey and its president must come to terms with reality and stop trying to find more and more enemies, as the civil war is not far away… Also we are all, world-wide upset and very much concerned with the way and the blackmail president Erdogan and his cronies are using to gain things their way from the international community, ignoring that we live in 2016! We all know where Erdogan is heading! Enough!

In Africa now the ANC is South Africa lost power in the municipal election – a big loss!  In South Sudan peacekeepers are there to secure and safeguard peace – too messy if the peacekeepers do not succeed. Boko Haram terrorists, in other words ISIS faithful are in a bit of a split!

BREXIT coupled with many financial testings for the British Economy moves and will move further. Expect a success but same will come under too many difficulties! The beginning was the voting result. Now what is needed is ultra professionalism for the success story, which we strongly believe it will happen. Never forget the Commonwealth of 1,6 billion people. For the shipping industry, London is and will remain the Administrative Capital of Shipping; more facilities and perks are on the cards!

Following the atrocious attack against a group of tourists in Russell Square, leaving one woman dead and four to five injured, the assailant has  been charged.

The RBS Banking Group is in a bit of a trouble and it remains to be seen how this matter will be solved in the next three years, as if not, expect a big financial loss and trouble.

GREXIT should also be on the cards for the Greeks. Even this regime is in total disarray and on top of everything else, imagine the feeling of all Greeks and the world at large when this morning we learned of a female athlete to be found positive in another dopping fiasco. All the perpetrators should forthwith leave their posts, whoever they are! No excuses following the Athens Olympics in 2004 when the founding nation of the Olympics and the modern Olympics was ridiculed by the drugs dopping companies. I have a personal experience from the way those matters in 2004 where tackled, even by the media (I had an encounter with Australia’s media). Russia for political reasons has been the target of a dopping campaign, but who doesn’t take drugs – ultra sophisticated drugs for dopping if you like it! The IOC had and has a big job to do, otherwise its all another fiasco for politics and business and monkey business – don’t excuse my French!

Brazil is in a financial and scandalous mess and we shall see after the Olympics what happens there. We wish though to all the Brazilian People and all teams a great success and good luck!

There will be updates; meantime enjoy the Weekend and the opening of the Rio 2016 Olympics!

 

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