Spot rates for supramax bulkers heading to and from east coast of South America continued to fall on Thursday as south Atlantic fixture activity stayed modest because of meagre demand. The rate for the Baltic Exchange’s supramax S9 route, which ships cargo from West Africa to Europe via South America’s east coast, reached its lowest point since mid-May, losing $343 on Thursday to land at $23,469 per day. “The overall sentiment in the South Atlantic market is bearish,” broker Barry Rogliano Salles (BRS Group) said in a report. “We see more and more ballasters coming from all over the Atlantic to load cargoes in east coast South America.”

Firm demand for supramaxes heading from West Africa to South America has offset some oversupply off Brazil, BRS Group noted. “For ships in West Africa, South Africa remains the most attractive area, which removes a couple of potential ballasters going to East Coast South America.” Supramaxes travelling from east coast of South America back to Europe are earning around $30,000 per day, but ultramaxes sailing to the Far East are making about $18,000 per day with $800,0000 ballast bonuses.

“Despite the mixed signals received from the market, unfortunately the overall sentiment is negative,” BRS Group said. “The number of spot ships are increasing and unless they are taken by new cargoes, we expect to see more downward trend of the market for the next couple of days.” The North American supramax market is also flat because of supply outweighing demand. “There are quite a few forward grain fronthaul cargoes, but currently there is a big gap between bids and offers,” BRS added. Fourth of July celebrations also contributed to limited supramax fixtures in US waters of the Gulf of Mexico. “We are starting to see a little bit of life returning to the market with rates moving slightly up from last done to around $26000 per day for fronthaul and trips across at around $25,000 per day on big supramaxes,” BRS Group said.

An ultramax off the east coast of South America was rumored to have been placed on subjects for a trip from Itaqui, Brazil, to Aqaba, Jordan at $34,000 per day, but no further details surfaced, according to Baltic Exchange analysts. “Another limited day with little fresh information surfacing,” they wrote on Thursday. “Overall sentiment remains flat from many areas in the Atlantic, but some brokers said demand remained from the US Gulf, although little fixing surfaced.”