Baltic index gains on higher rates for capesize vessels

The Baltic Exchange’s main sea freight index rose on Monday as higher rates for larger capesizes overshadowed a fall in the panamax and supramax segments.

The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, was up 12 points, or 0.56%, at 2,162 points.

The capesize index rose 48 points, or 1.64%, to 2,967 points.

Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore and coal, were up $394 at $24,603.

Dalian and Singapore iron ore futures bounced back above the $100 mark on Monday, as top steel producer China sought to ease concerns over financial distress facing its property sector, but persistent COVID-19 worries limited gains.

The panamax index was down 13 points, or 0.69%, at 1,872 points.

Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, decreased $123 to $16,846.

Russian President Vladimir Putin and his Turkish counterpart Tayyip Erdogan will discuss the export of Ukrainian grain at their meeting in Tehran on Tuesday, a Kremlin aide has told reporters.

Meanwhile, Chicago wheat rose on Monday, rebounding after hitting five-month lows last week and boosted by strong import demand and a lack of any more news about the creation a safe shipping corridor for Ukraine’s exports.

The supramax index fell by 2 points to 2,037 points.
Source: Reuters (Reporting by Arundhati Sarkar in Bengaluru; Editing by Amy Caren Daniel)