Baltic index falls for 10th straight session on lower vessel demand
The Baltic Exchange’s main sea freight index .BADI, tracking rates for ships carrying dry bulk commodities, fell for a tenth straight session to a near seven-week low on Wednesday, as rates fell across vessel segments.
The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, fell 4% or by 58 points to 1,401.
The capesize index declined 6% or 121 points to 1,899, its lowest in over one month.
Average daily earnings for capesize vessels, which typically transport 150,000-tonne cargoes carrying commodities such as iron ore and coal, lost $999 to $15,751.
“We anticipate a continuation of this downward trend for the current week”, Intermodal shipbroking said in a note on capesize vessels.
Iron ore strengthened as positive signals from top consumer China’s latest financial meeting and sound fundamentals boosted market sentiment.
The panamax index slipped 2.9% losing 45 points at 1,489, its lowest level since early September.
Average daily earnings for panamax vessels, which usually carry about 60,000 to 70,000 tonnes of coal or grain cargoes, fell $405 to $13,398.
Among smaller vessels, the supramax index shed 1.4% or 16 points to 1,119.
Ukraine said on Wednesday Russian warplanes had dropped “explosive objects” into the likely paths of civilian vessels in the Black Sea three times in the last 24 hours, but that its fledgling shipping corridor was still operating.
Source: Reuters (Reporting by Tina Parate in Bengaluru; Editing by Shweta Agarwal)