Let’s be blunt: the markets and geopolitics are in trouble

Chartering, Containers, Dry Bulkcarriers, Insight, Markets, Military, News, Statistics, Stock Markets, Trade and Commerce — By on September 29, 2017 at 11:59 PM

John Faraclas

The BDI (Baltic Dry Index) closed down earlier on today at 1,356 points – 35 points down since yesterday and 146 since last Friday’s closing when the general index stood at 1,502 points. Geopolitics might become a times two Armageddon.  John Faraclas’ daily and weekly recap:

Whatever was gained for the Capers, same has been virtually lost; the most volatile of all indices proved once again its nature… The BCI lost 86 points from yesterday’s 1,391 pints and now stands at 1,356 points; on a weekly basis the loss stood at minus 409 points – from 3,147! Caution!

The Panamaxes were down 44 points at 1,308 and the BPI’s losses widened to 175 from last week’s 1,483 points…

The Supras’ BSI was down 20 points to 1,021; on a weekly basis the loss was minus 40 points – from 1.061…

The Handies survived the losses but lost steam as the BHSI remained the same since yesterday at 616 points; on a weekly basis it was though the only size with gains: 54 points plus since last week’s 596…

An unsustainable week which might lead to many second thoughts as many now begin to feel the coming market tsunami, even though we might see some positive corrections ahead, but…

The Wets on a different mode; the last published BDTI (Dirties) and BCTI (Cleans) stood at 782  that’s minus one and 671 – plus five respectively. The week though ended on a positive note: 782 for the Dirties, i.e.: up 22 from 760 and up 54 from 617 respectively.

Shall we blame the Moon Festival in the Far East for the fall in the markets?  Time will tell, but one thing is for sure for which numerous times we have referred to: Unless we see the BDI over and above the 2,270 points (the famous end of December 2013 level), the situation will dive further and in the meantime many companies might vanish deep down the dark blue sea…

The WTI  at US$ 51,60 causes tremors for the poor masses around Planet Ocean; caution… Last week the WTI ended at US$ 50.66…

Maritime Tourism will be appropriately presented in the forthcoming world Travel Market in London’s ExCel this November and the Cruise ships will be at the forefront. A sector in Shipping worth investing!

Owners continue to order new tonnage of any type you can imagine and that in our view is absolutely essential for not just the world fleet’s renewal but for having the right double eco ships with the most up to date equipment. Shipping as we have stressed becomes day by day shipping for the very very very few; many must understand this as very soon they will be extinct. Talking about building new ships we must also see high standards in the shipyards after the 90’s – 00’s fiasco, particularly in some Far Eastern shipyards. Just read the claims and shut up… (excuse my French but the shut up goes for all those who have promoted  some despicable shipyards in the Far East. With all due respect the Chinese experience is a lesson for all; end of the story.-

The Geopolitics are getting sour all over Planet Ocean and danger looms everywhere thanks to the pathetic politicians’ attitude and lack of brinkmanship! Add the politicians and their cronies and see what you get!

The MIGRANTS saga surpassed even our own estimations and paradoxes… Expect despicable developments… The focal point remains the Med with the entire Aegean Sea being “besieged” from the Turkish wrath… and the central Med – the Libyan issue affecting Italy and its islands and finally the Iberian Peninsular  with many gathering in Melilla and Ceuta for the trip across to Europe… The Migrants issue is Europe’s Achilles Heal so to speak; just think about its and have a strong word with your local MP (this applies for all Med and Euro nations).

The unended Wars in Syria and Iraq against ISIS and the dozens of various functions there gets off hand… The super powers too with their “vested” interests greatly contribute to the distraction of these countries, its periphery and beyond. Don’t be surprised of what is on the cads including the destabilization of the Balkans

Add the Kurdish Referendum  result and see how politically correct are the super powers who wish by all means to avoid upsetting Erdogan’s Turks. It will be worse one day… The time has come to see the Kurdish state, a state now divided in four, with parts in Turkey, Iran, Iraq and Syria… Moreover there are large Kurdish population masses in Constantinople (Istanbul), Ankara, Smyrna (Izmir) in western and central Turkey and that will soon be difficult for the current Turkish leadership to ignore…

Turkey enters unchartered waters and might make it a total mess with a general conflagration in the entire region and beyond… Counting on its “religious” card the Turks invite all Muslims and Islamists   to rally with them in pursuing their cause… You can see the arrogance against the Germans and the Greeks and you can get the message… Add the strange relationship with Putin’s Russia and see what’s coming up…

Greece next door is covered deep-down in mud and only the 12 Gods and the tragedists know what the Delphi oracle will say… Zeus ex machina could be the only solution for the Greeks… The latest pollution issue proves the inability of those who govern today to tackle these and other maritime issues and accidents. Wonder how many pollution drills have taken place involving ordinary citizens which today are close to 200 – are they certified and by whom? Stop cronyism too – you dead well know what I mean… When in opposition the current lefty SYRIZA who forms the 90 centum of the current administration  they were all blah blah blah!  Once again we call for an Aristos team to run Greece for the next ten years and when the county is streamlined, then call for elections with a new electoral system; one candidate per party per constituency and scrap all these undemocratic plus 50 (fifty) MPs for the party that comes first… Proportional representation too is a must; scrap the three centum… there are other ways too… Greece needs investments, both from within and from abroad, and the coalition government of today should not put off the Greeks just to make a show off and saw preference for the foreign investors … A lefty party gets anaphylaxia when it comes to local peoples investments… Meantime, did I hear you say Shipyards? eh!

The one side…

Spain faces another mayhem due to the Catalan separatists… Caution… It might end up in a mess… as both parties have externalised the issue and in every country, particularly in Europe one can see demos; we have witnessed this in Luxembourg last Sunday… It remains to be seen what means Madrid will employ to end this rebellion  which threatens to blow up Spain’s cohesion, but also  to open the Aeolus bag for many other regions worldwide seeking self determination…

…and the other side…

So after the ending of the Basque issue, another saga appears… Wonder what Brussels have to say officially on this issue… Brace for trouble…

BREXIT becomes the most serious and crucial issue of this Millennium… watch how developments enfold and what is yet to come… wonder the logic of the Labour Party and its followers… Mrs May will do and is doing the best for the entire issue, but some party and government members should follow her and not oppose her. Indeed all positive advice is welcomed, but not in the way some important ministers express though the media… Mrs. May stands up for the Square Mile in the BREXIT talks; she evidently supports mutuality! Backing free markets is a blessing, organising and arranging the European Union on flexible changes on trade issues yet another but a must to happen. Never forget that here exists a FCO – Foreign and Commonwealth Office, with a power of 1.9 billion people. No other block, political or religious has these powerful numbers… The left, currently under the populist Jeremy Corbyn must end these nonsense against neoliberalism and capitalism  as its own policies and doctrines have spectacularly failed; comparison’s pay off, end of the story. Mrs. May MUST rise to the circumstances and save the people of the United Kingdom! She’s the only one who can do it!

Post-election Germany lost its charm and the world is focusing here in Unter de Linden to see the next administration and coalition there… Tough days ahead for Mrs. Merkel et al… In the meantime wonder what all of you make of the fact that the former German Chanchellor Gerhard Shroeder heads Russian giant Rosneft… very perplex issues  which need a settlement, despite who are the shareholders of Rosneft… Having said that, congrats to Putin’s breakthrough on this and other geostrategic deals…

At the other side of the Atlantic, President Donald Trump still tries to get round America… meantime his Health Minister resigned… There is an excellent book to read, “Americana:  A 400-year  History of the American Capitalism”. President Trump should capitulate on this; the rest of the world too so one can counter…

The Hurricanes left billions of dollars mess in the USGulf as well as in the Caribbean…and another strained USA-Cuba relationship… is coming up which is a both to blame collision style. Thee isn’t smoke without fire…

In the Pacific basin Japan is under election fever; will Abe do the trick…?

North Korea in total mess and that might lead to more troubles in the region…needless to say the complications ahead… The proxy game of Russia and China must end. One thing is for sure: China can end this mess with the North Korea’s attitude in a second! If the UN sanctions work and China closes down North Korean Companies operating in its territory it might be a way, but still we feel there is a lot of hype there…

All in all for the entire Far East region one must be cautious and well prepared for the so called Asian Credit Crunch! The lending issues and the Banking sector will be totally destroyed there! The beginning has started with the shipyards there and Hanjin…

Group winners on the stage of the world with Dorothea Ioannou at centre stage!

The Lloyd’s List Global Awards 2017  at the National Maritime Museum in Greenwich was more than a special event last Wednesday night with Dorothea Ioannou – American P&I clinching an award and making millions of women more than happy. A devoted WISTA she has more to conquer now! Excellent!

Yesterday the BHCC event in Athens with the Governor of the Bank of Greece John Stournaras on a great day was unique on all counts!

In Africa now with Cameroon in the spot light with English speakers accuse the Francophone majority of discrimination; independence you see…

In far reaching Australia it is interesting but also bizarre to watch the happening with the dual citizen saga; amongst them there are seven Australian MPs who have to wait until October to see whether their election was valid because they hold dual citizenship… Another major issue is the Neil  Prakash the most wanted jihadist – a case one must watch carefully as it applies to many all over the world!

IMO’s Secretary-General Kitack Lim addressing the representatives of national delegations and guests

The World Maritime Day 2017 at the IMO last night was a show of force given the BREXIT saga… London was, is and will continue to be the administrative capital of Shipping; end of the story!

Coming up in Limassol, Cyprus the Maritime Cyprus biennial event under the theme: “Yesterday’s World, Tomorrow’s today”. Established 28 years ago in 1989 the event attracts nearly 800 international shipping makers and shakes…

That’s all for now, have ave a nice weekend and in the meantime be on guard for any eventuality deriving from Pirates and Terrorists all over Planet Ocean…

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Uploaded 23:45 BST

Updated 23: 59 BST

 

 

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