Another downgrade for STX PO

[Dow Jones] STX Pan Ocean (V33.SG) continues to slump as investors fret dry bulk shipping rates are set for seasonal weakness; share down 8.3% at S$2.77. "Our short-term positive view on rates is drawing to a close, as the spring fling gives way to the summer slump," says Goldman Sachs. Broker notes iron ore negotiations are key to timing, magnitude of shipping rate correction; says if negotiations are delayed further, shipping rates likely to correct soon, and more sharply than market expects. Advises investors to sell dry bulk shippers into strength; maintains Neutral rating on STX Pan Ocean with S$2.50 target price. Next support tipped at S$2.68 (78.6% Fibonacci retracement of rise from March 20 low of S$2.32 to May 20 high of S$4.00. Korean listing (028670.SE) down 9.2% at KRW2,070.