Week 11 March 17th 2012

Top & Bottom 5 Day: 

EGLE @1.76 (+18.12%), SFL @15.66 (+18.01%), SHIP @3.97 (+16.76%) >>>

SB @6.88 (-4.58%), PRGN @0.85 (-5.56%), GLBS @5.34 (-6.97%).

The alert for ESEA traded flat gaining around 2.5% on the week, and this week produces zero Top & Bottom 5 Day Alerts as we have no repeat performers.  We had expected GLBS to be among the laggards last week after an impressive run but that did not materialize until this week.  Timing…like luck… is everything sometimes!

The Baltic Exchange:

BDI =866 up 5.10%, BCI =1475 down 1.86%, BPI =957 up 7.65%,

BSI =937 up 8.45%, BHSI =500 up 6.61%.  The story line this week has been the 3 smaller classes making some headway but not the Capes.  I wonder if we can call them like we see them…Ore Whores! 

The Fixtures: 

Ore =16, Coal =8, T/C =100, Period =8, Bauxite =1, Grain =1, total =134.  Without a doubt the best week this year for T/C fixtures providing needed employment while breaking into triple digits for the first time in a long time.  Back in 2008 we counted triple digit T/C as normal.  Now with more vessels afloat it bodes badly relative to implied utilization rates. 

            Best done period vs. spot;

Capes:  YURITAMOU          4-8 MOS          $12,300  vs. $5,474

PMax:  D. Prosperity             4-6 MOS          $10,500 vs. $7,664

SMax:  Beks Senk                  4-6 MOS          $11,900 vs. $9,802

              None smaller than SMax.

The Vessels:

VLOC =0, Capes =24, Post P =5, KMax =17, PMax =42, SMax =34, HMax =4,

HSize =4, Bulkers =4, total =134.

Ski Notes:  Without wanting to pick on any particular company I have been openly critical of EGLE near term and further out.  The shares of EGLE rose more than any other company in the dry bulk universe this week gaining an impressive 18%.  It is clear to me how much the market values my inputs.  We will see over the course of the next few months just how wrong going Long on EGLE will be.

 This of course is only the opinion of us folks @ Dry Bits and should not be misconstrued as investment advice.

Good Fortunes

Ski