Container Shipping Market (‘22/12W)

As of March 18, SCFI(Shanghai Containerized Freight Index) recorded 4,540. 75.7% higher than the same period last year. However, the SCFI rate index declined for 9 consecutive weeks, reflecting the trend

1.     Container Ship Weekly Trend

1-1.        Weekly Market Briefings

 

• In the 11th week of '22 (3.14-3.18), the SCFI Composite Index recorded '4,540.3p'. Weakness continued on all routes except Japan, falling for the ninth consecutive week

- China presented a growth target of 5.5% despite the economic downturn in these two meetings,
  but recently the four largest cities in China (Beijing, Shanghai, Guangzhou and Shenzhen) have tightened controls
  due to the spread of the corona virus, which has a negative impact on the economic recovery.

- In Shenzhen, China, strong lockdowns are in effect in all areas of production and commercial activity, but ports are
  still operating normally. However, it is expected to be an incentive to deepen congestion and decrease demand
  in the future.

 

---

  

1-2.        SCFI Composite / Europe / USWC, USEC Index

 

Europe :  

• European routes drop for 8 weeks in a row

- Demand continued to weaken due to the Ukraine issue and China's blockade, which broke the 7,000 level
  for the first time in eight months since July.

- It has been confirmed that the Far East-Europe rail transport is currently partially operating, but severe congestion
  occurs at the border and accelerated volume evacuation. In addition, following the long-distance shipping
  companies that have already announced the suspension of service on Russian routes, European offshore feeder
  shipping companies are also joining the cessation of operation.

 

 

USWC/USEC : 

• The West Coast of the US fell for the second week in a row and the East Coast route fell for the fifth week in a row

- Volume recovery has been delayed since the Lunar New Year, but it is showing a relatively modest decline due to

  waiting demand due to prolonged stagnation. Asia-North America trade volume in February was 1.69 million TEU,

  an increase of 16% compared to the same month of the previous year, a record high as of February

- The number of ships on the West Coast of North America stood at 43 this week, down 60% from the peak of 109
  in January this year. However, inland transportation productivity continues to decline due to the shortage of
  demurrage and truckers.

---

1-3.        technical analysis

MACD : October 18, 2021, Trade signal (Short Position establishment) signal occurred

 

Thanks.