The BDI at the crossroads; Geopolitics too…

Markets, News, Sales and Purchases, Shipping Indices, Statistics, Stock Markets, Trade and Commerce — By on January 3, 2017 at 11:12 PM
John Faraclas

John Faraclas

The BDI drops further despite the Capers upwards rally; Geopolitics are a major concern given last year’s mess. John Faraclas daily briefing:

The BDI (Baltic Dry Index) lost another eight points since the 23rd of December 2016 and now stands at 953 points thanks to the volatile Capers rally of 153 points plus with the BCI 2014 now at 1,538!

The Panamaxes BPI lost 41 points – now reads 811…

The Supras’ BSI down 60 – now at 843…, and

The Handies’ BHSI down at 559 points, that’s a 38 points loss!

We reiterate the view that one size CANNOT dictate and form the Markets; end of the story.-

The Wets with mixed feelings; the last published BDTI (Dirties) and BCTI (Cleans)  lost 17 points – now at 919, and 678 – plus three respectively…

Container trade will hit rock bottom.

Scraping must accelerate!

Many shipping companies will go under no matter if they are listed or not. This will be The Year of Shipping Reckoning!

The WTI at US$ 52,39 following an upwards rise at US$ 53,50 earlier on today sends further alarms; it is too much to bear, particularly for the low incomes. Caution!

The only way out is for transparency to reign so we get rid of the business hooligans, err the beachcombers of the shipping industry who led us in this mess. Time for an international Attorney-General to step in…

Despite all the above and the current geopolitical situation, as same is described herebelow, this environment continues to favour buyers, as it is the best ever buyers’ market ever witnessed. This is the shipping market for the very very very few to exist.- You can compare our five years’ reporting including live TV broadcasting with other mediums and see how right by far we are from all other mediums, analysts included!  You can see some experts declaring that 2014’s second half will be a rising point for the Shipping Markets and all the statements and written reporting in A1 daily papers they “uploaded” turned sour…

The Shipfinancing front is in total disarray… One of the biggest disasters in this millennium and possibly never ever experienced its level in the previous one. Expect mega disasters and bankruptcies both in the Tramp and Liner sectors… Coincidentally, The International Handbook of Shipping Finance come out; worth studying same…

Soon in February the renewal period comes… Watch out the entire Marine Insurance saga enfolding…

The Geopolitical front is already far worse than the one we left behind in 2016!

The MIGRANTS issue dominates the scene. The diplomats with their inability to confront politicians and their cronies have made it far worse… Their actions speak alone…. Shame! The Turkish blackmail on the MIGRANTS issue must be confronted as otherwise expect more C H A O S  all over Europe and beyond. The Far Right is gearing up for a major upheaval! After the continuous chaos in Greece and the  Greek Islands in the Eastern Aegean (Lesvos, Chios, Samos in particular) and Italy, it is Spain now to have complicated issues following the Migrants storming in Ceuta…

The Syrian saga produces hell; repeat: simply hell all over, as a result of which there has been a surge of Terrorist action with Turkey yet again at the forefront of despicable developments; the Reina Club attack was on all counts an out of any proportion attack! Get them (the terrorists) and humiliate them in public as well as their entire families and leaders!

Deal asap with ISIS; don’t delay! Get your act together and let the military do their job! Smash ISIS here and now, as otherwise this conspicuous delay will backfire on all and will cost millions of lives and deported people in the region. Europe and its people CANNOT afford any more MIGRANTS; the European Nations, not just the EU one, Social Cohesion is at stake.

Israel raises concern over Obama’s/Kerry’s actions for the Jewish settlements in the West Bank

Putin’s Russia flexes its muscles but tread on a tight rope with its relationship with the Turkish administration; caution…

The Turkish though provocations in the region go far beyond logic and excuses. Violating Greece’s airspace and territorial waters will bear no excuse if the Greeks react in an Alexander the Great way; fairs fair. It is about time the international community shows a collective understanding and solidarity in putting Turkey on to notice or else!

Greece itself as a result of previous regimes mismanagement and current ones impotency will create havoc in the financial markets; needless to say the damage inflicted to its citizens as a result of a two-faced European Union with Germany continuing to harass the Greeks. GREXIT and stop paying the unexisting loans and demand others to honour their debts towards Greece; is a must before the shit hits the fan. The Tsipras lot will not stay in power!

BREXIT continues with too many hiccups; we still believe though that it is a great and brave decision of the people of the United Kingdom to leave, but tough negotiators with vision are needed… Given the German dominance of Europe and other issues, the British people cannot afford an iota to bear collateral losses from Europe’s wrong policies, such as the MIGRANTS issues… In the  meantime does  the latest resignation of the British Ambassadors in Brussels has a case to answer or not?

ITALEXIT is on the cards, and then…

At the other side of the Atlantic in 16 days we will see Donald Trump taking over and then… Cancelling Obamas’ policies and foreign policy could become a boomerang. The USA must exercise a thoughtful policy before the world’s boat hits the rocks…

China faces many issues and things might get sour… Financial maters and the Economy; needless to say foreign policy issues with the South China Sea disputes and Taiwan…

In South Korea expect political mess with Mrs. Park Geun-hye’s impeachment developments; can she survive this political upheaval?

India tries to re-assert itself.

Japan watches all developments and will not stay idle; Abe knows best…

In Africa, things aren’t so rosy either…

As things stand we urge the international community with a mandate from the UN and relevant assistance and support from the IMO to safeguard Planet Ocean’s dire straits!

Events not to be missed;

The London International Boat Show, taking place from 6 – 15 January 2017 at ExCeL, London.

4th UAE Maritime Forum 2017 – The UAE Summit of Marine and Maritime Leaders; on the 24th of January.

8th Marine Money London Ship Finance Forum to be held on Wednesday, 25 January 2017 at The Dorchester, Park Lane, London.

Capital Link Cyprus Shipping Forum (Limassol) on the 9th of February 2017

8th Annual Greek  Shipping Forum (Athens) on the 15th of February 2017

The European Shipping Week is coming up in Brussels; be there between the 27 of February and the 3rd of March 2017!

2017 will be the year of decisive actions by many nations but the World Economy must get better as otherwise there will be street fighting in many places. It is also the Year of the Rooster influenced by the motto:    “Stop and Think”… Many issues rest with the behaviour of many elements within the media and that’s a serious issue. Nemesis strikes and strikes for all including the media for their pathetic and despicable behaviour in reporting the various issues under their masters voice dictation.

Have a healthy 2017 but be on guard as things are far worse than you can imagine. We have warned you already from last year!

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