The Baltic Exchange’s main sea freight index of shipping rates for dry bulk commodities logged its 10th consecutive decline on Wednesday, hitting its lowest in two-and-a-half months as rates fell across all vessel segments.
The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, dropped 53 points, or 3.9%, to 1,295 points, its biggest drop since February.
The capesize index was down 110 points, or 5.4%, at a one-month low of 1,930 points, marking its biggest drop since April 18.
Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore and coal, fell $912 to $16,010.
China is likely to import a similar amount of iron ore this year as it did in 2022, with demand in the world’s biggest steel producer failing to show signs of recovery, according to participants at an industry conference.
The panamax index lost 28 points, or 2.3%, to a three-month trough at 1,184 points, its 21st session without any gains.
Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, decreased $258 to $10,653.
Benchmark Singapore and Dalian iron ore futures stretched losses, languishing below $100 a tonne, as steel prices slumped in China on economic recovery worries.
Among smaller vessels, the supramax index dropped 29 points or 2.8% to 1,014 points, its lowest in three months.