Ton Mile Trader

Baltic Indices
BDI  3316 up 86
BCI   3894 up 171
BPI   4090 up 77
BSI   2628 up 41
BHSI  1314 up 11

- Commodore Landsberg comments on grain:  The USDA has increased its 2009/10 global grain trade forecast to 266.22 million tons, about 1mt more than expected just one month ago. The forecast has been increased primarily due to a larger amount of wheat exports expected to come out of Argentina.  Compared with last year, however, grain trade is still expected to fall by approximately 18mt (-6%) as the USDA estimates about 284mt of grain was exported in 2008/09. A significant decrease in wheat exports, primarily from the United States, Argentina, and the Former Soviet Union, is primarily responsible for the overall year-on-year decline.

- Martin Korsvold:  Chinese traders report that inquiry is firming up, especially from small and medium sized mills. We note that steel making margins are on the increase in China with margins a negative 10% for Brazilian and Australian ore, negative 6% for Indian ore and close to zero for domestic ore. Softer spot prices of ore and some improvement in steel prices account for the improvement in margins.

Dry FFAs  - very good volume

              Spot                               Q2 FFA       
Cape:    37307 up 1838               38750 up 1250
PM:     32886 up 612                 31000 up 1250
SM:      27475 up 426                 27000 up 1000