Baltic index boosted by higher capesize vessel rates
The Baltic Exchange’s main sea freight index rose on Monday, hitting its highest in nearly two weeks, driven by higher rates for capesize vessels.
The Baltic dry index, which tracks rates for ships ferrying dry bulk commodities and reflects rates for capesize, panamax and supramax vessels, was up 18 points, or 1.4%, at 1,314 points.
The capesize index gained 40 points, or 2.1%, to 1,940 points.
Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore and coal, were up $328 at $16,089.
Intermediate and Feeder containership charter rates have rallied to multi-year highs as bookings of Chinese exports to the U.S. are up 89% year-over-year on soaring demand from retailers ahead of seasonal holiday, Randy Giveans, vice-president, equity research, at Jefferies, said in a note.
The panamax index was up six points, or 0.5%, at 1,321 points.
Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, increased $56 to $11,891.
Among smaller vessels, the supramax index rose nine points to 950 points, while the handysize index rose three points to 561 points.
Source: Reuters (Reporting by Arundhati Sarkar in Bengaluru; Editing by Krishna Chandra Eluri)