The Baltic Exchange’s main sea freight index of shipping rates for dry bulk commodities fell for the 13th straight session on Tuesday, hitting a near three-month low as rates fell across all vessel segments.
The overall index, which factors in rates for capesize, panamax and supramax shipping vessels, dropped 49 points, or 4.2%, to 1,129 points, its lowest since March 1.
Shipbroker Allied in a weekly note attributed the dry bulk market’s poor performance to “the ‘disappointing’ Chinese economic data…which is below analysts expectations.”
Analysts expect China’s official manufacturing Purchasing Managers’ Index (PMI) on Wednesday to show contraction for a second consecutive month in May.
The capesize index was down 89 points, or 5.3%, to 1,594.
Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes including iron ore and coal, fell $735 to $13,221.
Benchmark Dalian iron ore futures gave up early gains to close daytime trade slightly lower, dragged down by falling prices of other steelmaking ingredients and steel products.
The panamax index lost 29 points, or 2.6%, to over three-month trough at 1,090.
Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, decreased $261 to $9,811.
Among smaller vessels, the supramax index dropped 36 points or 3.8% to 910.