Baltic index snaps 5-day winning streak as capesize rates slide
Baltic Exchange’s main sea freight index , which tracks rates for ships carrying dry bulk commodities, snapped a five-session winning streak on Wednesday as demand for capesize vessels weakened.
The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, fell 35 points, or 1%, to 3,383. The index logged the highest quarterly gains in a year at more than 65%.
The capesize index dropped 205 points, or about 5%, to 3,931. The index, however, recorded its best quarter in a year rising about 78%.
Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes of coal and steel-making ingredient iron ore, were down $1,695 at $ 32,604.
Dalian iron ore rose for a seventh straight quarter on Wednesday, although a slump in Chinese steel mills’ profit margins weighed on prices in the final trading sessions of June.
The panamax index rose 109 points, or 2.7%, to 4,119. The index has risen for a second straight quarter, climbing about 60%.
Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 tonnes to 70,00 tonnes, increased $987 to $37,074.
The supramax index edged up 9 points to 2,930.
Source: Reuters (Reporting by Eileen Soreng in Bengaluru; Editing by Vinay Dwivedi)