Volatility surges as Capesize sentiment turns sour | Report
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Volatility surges as Capesize sentiment turns sour – Following almost a tripling in performance in less than a month, the last few weeks have seen Capesize rates reversing course and dropping by ~40% on the back of weakening sentiment among owners.
We anticipate the rest of the year to remain equally volatile in nature similar to the past few months, and although futures continue to be anchored to a tight range for the second half of the year, the prompt month will continue to follow closely the spot rates that are fighting between a supply-constrained market against relatively weak demand.
