The Baltic Exchange’s main sea freight index fell for a third straight session on Thursday as a combination of more ships and easing shipments of iron ore in the Atlantic dragged capesize vessel rates.
The Baltic index, which tracks rates for ships ferrying dry bulk commodities, fell 3.3%, or 67 points, to 1,947 points.
The index has still more than tripled since February, mainly driven by strong demand for vessels that ship iron ore from Brazil into China.
The capesize index fell 199 points, or 5.2%, to 3,609 points.
Average daily earnings for capesizes, which typically transport 170,000 tonne-180,000 tonne cargoes such as iron ore and coal, declined $1,424 to $26,928.
“The market is falling off currently on the back of abundant vessels in the Atlantic basin and a lack of fresh requirements,” shipbroker Fearnleys said in a note.
“Still, fundamentals are better, and expected to improve further in the coming months.”
The panamax index fell 29 points, or 1.3%, to 2,180 points.
Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 tonnes to 70,000 tonnes, decreased $227 to $17,431.
The supramax index fell 7 points to 1,012 points.