Deutsche Bank has noticed the poorly timed orders of vessels in early 2013 – echoing the 1980s where owners were tempted to splash their cash and 'aggressively' order vessels.
Deutsche Bank analyst Bjorn Kristian Roed has said that he hopes ship owners hang back on the ordering for the rest of 2013, as first-quarter orders have been on the excessive side.
He's counted 44 capesizes ordered in 2013, ahead of the 33 in the whole of 2012, as Oldendorff, Thenemaris, Oceanbulk and others followed a trend set by Frontline 2012.
"Tier one yards in China now report all capesize slots are close to full for 2014, meaning owners will have to turn to Japanese yards for delivery in 2014, which following the weakness of the yen is not such an unlikely scenario as it was only five months ago," he said.
Some 80s throwbacks are perfectly acceptable, but this one – along with rolled-up tuxedo sleeves – is a matter of opinion.
… having said that, is this a true throwback? The companies doing all this ordering are no fools. If you've got the cash, if the price is right, if you're ordering the next big thing (eco ships, not iPads), and if your competitors are all burdened with debt, then maybe you're onto something.
Read the full article at http://www.tradewindsnews.com/finance/316670/deutsches-history-lesson
