Note: This article was originally published August 9th on Value Investor's Edge, a Seeking Alpha subscription service.
Overview
Over the past few years, I have had to spill a lot of ink describing the process of a shipping market down cycle, focusing on both market forces as well as the reactionary nature of owners.
Asset values, demolitions, S&P (Sales & Purchase) activity, and newbuild ordering were all influenced in some fashion during this bear market. Other correlations were also observed between a variety of factors.
All cycles share typical traits, but there are also