Baltic index hits over one-week high on capesize strength

The Baltic Exchange’s dry bulk sea freight index rose to more than a week high on Thursday, supported by gains in the larger vessel segment.

The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, added 86 points or 5.1% to 1,774, hitting its highest level since April 23.

The capesize index gained 256 points, or 12.1% to 2,372.

Average daily earnings for capesize vessels, which typically transports 150,000-ton cargoes of iron ore and coal, among others, increased $2,117 to $19,670.

Iron ore and steel futures fell amid risk-off sentiment ahead of a Chinese public holiday, but most contracts posted monthly gains on the back of a better demand outlook from the property sector.

The panamax index was up by 16 points, or about 0.9 to 1,863.

Average daily earnings for panamax vessels, which usually carry about 60,000-70,000 tons of coal or grain cargo, added $144 to $16,766.

Among smaller vessels, the supramax index edged lower by 12 points to 1,466. The index was down for the fourth straight session.
Source: Reuters (Reporting by Daksh Grover in Bengaluru; Editing by Vijay Kishore)