Capesize strength lifts Baltic index for fourth straight week
The Baltic Exchange’s main sea freight index (.BADI), tracking rates for ships carrying dry bulk commodities, rose on Friday, registering its fourth straight weekly gain, supported by higher demand for capesize vessels.
The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, was up 96 points, or about 5.6%, at 1,816, its highest in over a month and a half. It gained 16.8% on the week.
The capesize index (.BACI) was up 277 points, or about 14.4%, to 2,206. It posted a second consecutive weekly gain of about 45.2%.
Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore and coal, were up $2,293 at $18,293.
Meanwhile, India’s thermal coal imports from Russia were expected to fall for the first time in four months in September, potentially resulting in lower revenues for Moscow at a time it is mobilising more troops to fight in Ukraine.
The panamax index (.BPNI) was down for the third consecutive session by 3 points, or about 0.2%, at 1,995. However, it posted a 0.3% weekly gain, its third in a row.
Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, fell $24 to $17,959.
U.S. and European wheat futures retreated from two-month highs hit in the previous session, as investors set the threat of an escalating conflict in Ukraine against the risk of an economic downturn that would dent demand.
The supramax index (.BSIS) rose for the eighth consecutive session, adding 15 points, to 1652, and ending its best week in a month 6.5% higher.